27 Nov 2013

Yoghurt business in Tasmania acquired by Fonterra

12:54 pm on 27 November 2013

Fonterra in Australia has wrapped up a takeover of Tamar Valley Dairy, a yoghurt business in Tasmania.

Fonterra has bought the processing equipment, and related services, and intellectual property and trademark for the Tamar Valley Dairy brand.

It's keeping more than 120 employees, but 18 have been made redundant.

Fonterra currently processes half of Tasmania's milk at two manufacturing plants.

Buying the yoghurt business is part of Fonterra's expansion plans in Australia.

It's also bought a 6% shareholding in Bega Cheese, which is competing with Saputo of Canada and the Murray Goulburn, another Australian dairy company, for the takeover of Warnambool Cheese.