Glanbia teams up with US Dairy farmers to build cheese facility
Global nutrition group Glanbia announced that it has advanced discussions with Dairy Farmers of America (DFA), Michigan Milk producers Association (MMA) and Foremost Farms USA to create a stand alone joint venture to build and operate a new cheese and whey production facility in Michigan.
Glanbia
€10.45
18:30 22/01/21
The plant is projected to process 8m pounds of milk per day when complete. It has been proposed that 50% of the joint venture will be owned by Glanbia and 50% by the other three companies.
DFA, MMPA and Foremost Farms would supply all milk required by the plant under the agreement, while Glanbia will have full responsibility for all commercial, technical and operational aspects of the business.
Commissioning of the new facility is expected to take place in the second half of 2019.
Chief executive of Glanbia said: "Consistent with Glanbia's growth strategy, this proposed venture will build on our position as the number one producer of American style cheddar cheese and simultaneously expand our global position as a supplier of advanced technology whey protein to the nutritional sector. This proposed Joint Venture is a strategic move by all the partners to benefit from the growing, large scale milk pool in the state of Michigan."
The share price rose 0.32% to 15.61p at 1028 GMT on Friday.