Irish dairy cooperative Lakeland Dairies has announced the acquisition of De Brandt Dairy International NV, a Belgian butterfat business, as it seeks to boost its value-add capacity.
In a statement, Lakeland Dairies said that it had acquired De Brandt's customer base as well as 'other key assets of the De Brandt butterfat business' in mainland Europe, in a move that will enhance Lakeland's portfolio of products and geographical reach.
In particular, the group's operational capacity in the texturised butter market, a premium category, will be boosted by the acquisition.
About De Brandt Dairy International
De Brandt Dairy International is a family-owned business based in Dendermonde, approximately 30km north west of Brussels, Belgium. Established more than 100 years ago, the business specialises in texturised butter as well as conventional butterfats.
De Brandt and Lakeland have worked together in the past, with the two companies boasting direct supply arrangements between the Lakeland Dairies butter processing facility in Ballyrashane, Co. Derry and De Brandt's European dairy operations.
Added-Value Capacity
Commenting on the deal, Lakeland Dairies group CEO Colin Kelly said that the acquisition will "benefit Lakeland Dairies on a number of fronts. Having experienced a decade of volume growth, the next decade is about strategically increasing our added-value capability to ensure that we are in a position to deliver the strongest possible returns to our farm families.
"This acquisition gives us a firm foothold in new markets in Europe and beyond, enabling us to further grow and develop our world-class product offering for our current long term and future new customers."
The Lakeland Dairies cooperative includes some 3,200 farming families, which together supply around 2 billion litres of milk annually.
"The acquisition of the De Brandt butterfat business is a real show of strength by Lakeland Dairies and opens up new markets, product categories and opportunities for the co-op to further grow and develop its European business," added Lakeland Dairies chairperson Niall Matthews.
