FDBusiness.com

Italian dairy group Parmalat has completed the intra-group acquisition of Lactalis American Group for $904 million. The deal marks Parmalat’s entry into the US dairy market, which is one of the largest in the world. It also strengthens Parmalat’s position in Latin America with the addition, to its current activities in Colombia and in Venezuela, of access to high growth markets, such as Brazil and Mexico with cheese products manufactured in Canada, the US and Europe.

Lactalis American Group operates mainly in the US in the production and distribution of cheese and other dairy products. Its portfolio of proprietary and licensed brands includes international brands, such as Galbani and President, and local brands, such as Sorrento, Precious and Mozzarella Fresca. The acquisition includes the distribution, on an exclusive basis, of the products of the Lactalis Group throughout the Americas. In 2011, Lactalis American Group reported revenues of $979.3 million and EBITDA of $84 million; its net financial assets amounted to $19.4 million as at December 31, 2012.