Family-owned Lactalis Group has reached an agreement to acquire the dairy business of Spanish rival Ebro Puleva for €630 million.
The France-based group, best known for the Président brand it established in 1968, will now await the audited financial statements from Ebro Puleva before drawing up final contracts of sale. The process is expected to take four weeks.
Lactalis, based in France's dairy heartland of Mayenne, is the world's third largest dairy group with a turnover of €8.5 billion. It has expanded through the acquisition of competitors since it was founded in October 1933.
In 2006 it signed a joint venture with Nestlé, called Lactalis Nestlé Produits Frais (LNPF), which covers nine European countries and generates revenues of approximately €1.5 billion.
Lactalis was founded by André Besnier and is currently run by third generation Emmanuel Besnier. The family has yet to make a comment about the acquisition.
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