Ornua - formerly the Irish Dairy Board - has announced plans to acquire FJ Need (Foods) Ltd, a Cheshire-based cheese ingredients company.
The family-run Cheshire-based business includes a cheese cutting, grating and slicing facility, two cheese brands, including the Spinneyfields brand, and a distribution fleet.
Some 53% of Irish cheese is sold into the UK market last year, down from 60% the previous year, and Ornua says the acquisition will strengthen its position within the UK market.
Ornua said it believes that there is significant potential to expand this capacity to take advantage of the rapidly growing foodservice market for cheese ingredients both in the UK and in international markets.
FJ Need's cheese production facility currently produces 16,000 tonnes per annum
Ornua said the deal is still subject to UK competition approval.
"This acquisition will be another important milestone in Ornua's growth as a global supplier of quality dairy products," commented Ornua's chief executive Kevin Lane.
"We are buying an excellent family dairy business which allows us to significantly strengthen our presence in the UK ingredients sector. The complementary nature of our customer bases and the potential to further scale the business makes this a strong fit for Ornua," he added.
