DAIRY Farmers of Britain has acquired Lincolnshire Co-operative's dairy business for an undisclosed sum.
The move - reported on theNews.coop earlier this month - strengthens the farmers' co-operative's position as the UK's largest farmer-owned integrated dairy company.Â
The acquired business, which includes the Boultham Park Dairy in Lincoln and eight dairy distribution depots across Lincolnshire and Cambridgeshire, has a turnover of £ 23 million and produces 50 million litres of liquid milk per annum as well as luxury ice cream sold under the Clarey's brand.Â
This acquisition enhances DFB's strategic development by consolidating its position in the liquid milk market and by adding to its range of branded products and its geographical reach.Â
Dairy Farmers of Britain Chief Executive Malcom Smith commented: "The deal follows our acquisition of Associated Co-operative Creameries eight months ago and proves our continued commitment to fulfilling our long-term strategic aim of delivering a sustainable return to our dairy farmer members, through vertical integration and brand development.
"This is not only great news for DFB and its farmer members, but also the dairy industry as a whole, as DFB acts as a modernising force delivering a sustainable industry for the long term.Â We look forward with excitement to the future as we continue to build a strong co-operative business for our members."
The co-op's chairman, Rob Knight, added: "I am absolutely delighted. This important geographical expansion further reinforces Dairy Farmers of Britain our position as the leading dairy farmers' co-operative in the UK.Â We warmly welcome the staff of Lincoln Co-operative Dairy into the enlarged DFB family."
Ursula Lidbetter the Chief Executive of Lincolnshire Co-operative said: `The society is pleased that Dairy Farmers of Britain will be taking over our dairy operations around the county and beyond.Â As an agricultural county we know how important it is that farmers get a fair price for their products and DFB gives farmers more control over their supply chain.Â
`Our dairy has always had a reputation for quality and we have a highly skilled workforce who will be an asset to DFB as they continue to serve our dairy customers in the future.`
Dairy Farmers of Britain - now the UK's leading dairy farmers' co-operative - markets almost twobillion litres of high quality milk per year from more than 3,250 member farms and employs more than 2,600 people across England and Wales.