IDB announces intention to sell Belgian cheese subsidiary
The Irish Dairy Board (IDB) announced today that it has entered into an agreement to sell its Belgian continental cheese packing operation, IDB Belgium N.V. to Royal FrieslandCampina N.V..
IDB Belgium N.V. operates from Genk in Belgium and has a turnover of about €100m for the year ended 31 December 2011.
The transaction which is subject to regulatory approval is expected to be completed by 31 July 2012.
Proceeds from the transaction will be invested in furthering the group’s strategic growth plans and in international acquisition prospects.
Commenting on the proposed transaction, Kevin Lane, CEO of IDB said:
“The sale of our continental cheese packing business to Royal FrieslandCampina N.V. is another significant strategic step for IDB. The divestment will unlock additional capital to develop more focused routes to market for Irish product at a time when IDB Belgium’s future potential can best be realized with the support of a local dairy partner. Royal FrieslandCampina N.V. can bring greater synergy benefits to the Belgian business as well as presenting partnership opportunities with IDB in the future.”
