Milk Link, today announced that it had completed its deal to take a 75 per cent controlling stake in The Cheese Company, the UK's second largest cheese producer. The completion, which confirms Milk Link's position as the UK's leading and fastest growing integrated dairy business, follows approval for the transaction from Irish competition authorities and the Milk Link Member Council.
The Cheese Company has been created through the sale of Glanbia Foods Limited to a new company, Cheese Company Holdings Limited (CCH). Milk Link has a 75 per cent stake in CCH with the remaining 25 per cent being taken by Glanbia plc the international dairy, consumer foods and nutritional products company.
The Cheese Company, is the second largest cheese producer in the UK, with strong positions in cheddar, Stilton and British territorial cheeses, supplying the retail, food service and ingredient sectors. It operates four cheese processing facilities in Taw Valley, Devon; Lockerbie; Melton Mowbray; and Malpas; and a major packing facility in Oswestry. The company will employ approximately 1,000 people.
Barry Nicholls, Milk Link Chief Executive commented:
"The completion of the deal is great news for our dairy farmers as it enables them to benefit from a long-term secure outlet for their milk together with the additional margins available from processing it into added-value products.
"Moving into cheese production complements our substantial, existing liquid milk and ingredients businesses, as well as our fresh dairy products business through our strategic alliance with Arla Foods. It also allows us to build upon our increasingly strong customer relationships in the retail and food services sectors."
Colin Stump, Managing Director of The Cheese Company commented:
"Reaction to the creation of The Cheese Company has been extremely positive from both our staff and customers. We're delighted to be an integral part of the exciting Milk Link story and believe that we now have a major opportunity to grow our position in the UK cheese market by developing added value propositions such as new brands and healthy eating alternatives."
