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Monday, December 18, 2017
 Top German Dairy Producer Plans Merger  

By Oliver Nieburg

Directors of Germany’s largest dairy company, Nordmilch, and Humana MilchIndustrie have proposed a merger to aid survival in a competitive international market.

Nordmilch said the joint operation should be given the go ahead in January 2010 after approval from the German Federal Cartel Office and consent of the parent cooperatives’ representatives.

“The application is to be filed soon,” it said and “the decision will be passed no later than the end of the year.”

Consolidation
The decision builds upon Nordmilch’s strategic step last year to incorporate its sales activities with those of Humana Milchindustrie to form Nord-Contor Milch.

“A comparison of the development of the dairy industry in Germany with that in neighbouring European countries clearly reveals that Germany needs further consolidation to survive in international competition in the long term,” said CEO Dr Josef Schwaiger.

Representatives from both companies were contacted but declined to comment further on the deal.

 Nordmilch in Buoyant 2009
Nordmilch announced profits of €29m in 2009 and said it processed the same volume of milk as in the last financial year, in spite of consumer uncertainty amid the economic crises.

“It proved possible to keep volumes stable despite adversity in the markets – not least through strong growth in the profitable cheese sector,” said Schwaiger. Cheese sales were found to be up six percent on the previous year.

Sales may have been boosted by the company’s merger with Pommernmilch, which saw the addition of an extra cheese factory serving to expand the company’s cheese capacity and secure a foothold in the Mecklenburg-Vorpommern region.

Source: Dairy Reporter

http://www.dairyreporter.com/Financial/Top-German-dairy-producer-plans-merger/?c=dDfK5Z8gzn7MVBs%252BAvOymQ%253D%253D&utm_source=newsletter_daily&utm_medium=email&utm_campaign=Newsletter%252BDaily
 


Posted on Thursday, June 24, 2010 (Archive on Thursday, July 01, 2010)
Posted by bsutton@adpi.org  Contributed by bsutton@adpi.org
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