Lactalis buys Nestle Malaysia's chilled dairy assets

By Laura Mullan
Lactalis, the world’s largest dairy firm, has agreed to buy Nestle’s chilled dairy business in Malaysia in a deal worth around $40mn. Through the p...

Lactalis, the world’s largest dairy firm, has agreed to buy Nestle’s chilled dairy business in Malaysia in a deal worth around $40mn.

Through the purchase, Lactalis plans to establish Malaysia as the operational hub of its dairy business in Asia.

As part of the divestment, Nestle will invest MYR100mn ($24mn) to expand its Chembong Milo production facility.

Milo is a chocolate malt beverage brand owned by Nestle that is popular primarily in Oceania, South America and South-east Asia.

SEE ALSO:

The investment will allow to Nestle to “upgrade production facilities and improve operational efficiencies” according to the statement and will also establish the site as the biggest Milo manufacturing centre in the world.

Alois Hofbauer, CEO of Nestlé (Malaysia) Berhad said: “Nestlé remains positive on the Malaysian market and Malaysia as an export hub and we look forward to unlocking more growth opportunities in the future.

“We see great potential that these investments will allow us to strengthen our focus on strategic core businesses that can deliver good long-term growth and are aligned with evolving consumer needs.

“At the same time, this initiative will pave the way for the Chilled Dairy business and PJ factory to flourish under the new leadership of Lactalis.

Last year, Lactalis acquired the Stonyfield organic yoghurt band from Danone.

The company also recently purchased siggi’s, a US-based maker of Icelandic yoghurt.

Share

Featured Articles

Careers Passport: flagship programme to help jobseekers

A fast-track job scheme designed to remove barriers to enter the food and drink industry has seen over 1,000 training opportunities created.

Coca-Cola, Diginex & Reckitt tech to support supply chains

Respect for human rights is critical to good business, says Coca-Cola’s Paul Lalli, as the company joins diginexLUMEN to catch supply chain forced labour

Luxury food manufacturer Venchi on sustainable packaging

Cècile Osti, of luxury chocolate manufacturer Venchi, on Easter 2022, Sorrento lemons, sustainable packaging, natural ingredients & the pleasure of food

How has the pandemic affected sales at General Mills?

Food

Morrisons partners with Nestle in sustainability scheme

Retail

PepsiCo Launches pep+ a Strategic End-to-End Transformation

Drink