Warrnambool Cheese and Butter Factory (WCB) has entered into an agreement to purchase the everyday cheese business of Lion Diary for $137.5 million.
Lion’s everyday cheese business’ operations include its cut and wrap facility and brands Coon, Cracker Barrel, Mil Lel, and Fred Walker.
Warrnambool said the acquisition will enable it to increase its presence in consumer branded everyday cheese products segment in Australia, with the deal expected to close towards the beginning of May 2015.
The EDC business generates annual sales of around $160 million and employes 170 people. Lion’s cut and wrap operations are located in a building owned by WCB, which is adjacent to WCB’s cheese manufacturing facility in Allansford, Victoria.
