Lactalis Secures Majority Stake in Parmalat
ITALY - The French dairy group Lactalis has secured 83.3 per cent of the Italian dairy company Parmalat Spa following a buyout that was completed on 8 July.
18 July 2011
1 minute read
John Keane, the manager of the Milan Office ofBord Bia-Irish Food Board said that earlier in June the EU’s antitrust body gave the go ahead to the French dairy group to buy Parmalat saying that it didn’t uncover any antitrust concerns.
Lactalis bought a 29 per cent stake in Parmalat in March and launched a bid to purchase all Parmalat’s shares two months later. Despite initial rejection by the Parmalat Board and Government backed attempts to keep Parmalat in Italian hands Lactalis pushed ahead with its offer and succeeded in acquiring the remaining 54.3 per cent of the company for a figure reported to be €2.5 billion or €2.60 per share.
At a shareholder meeting on 12 July, Lactalis secured 11 board seats. Shareholders also selected Mr Franco Tato, a former chief Executive of the oil company ENI Spa as their new chairman. While lactalis is a private family owned business, Parmalat will continue to remain a listed company.
The new Lactalis group now becomes the world’s leader for dairy products with a presence in over 55 countries. Lactalis is probably best known for its President and Bridel brands while Parmalat is renowned for its long life milk products
TheCattleSite News Desk
