Saputo Inc. is paying $134.4 million cash to buy the
everyday cheese business of Lion-Dairy & Drinks Pty Ltd. based in Victoria,
Australia.
The deal includes $104.1 million for inventory net of a
minimal amount of assumed liabilities.
Saputo did the deal via an Australian company it bought last
year - Warrnambool Cheese and Butter Factory Co. Holdings Ltd.
The deal, which is to close in May, providing it clears
shareholder and regulatory approvals includes cutting and wrapping,
distribution, sales and marketing and intellectual property associated with the
Coon, Cracker Barrel, Mil Lel and Fred Walker brands.
The business has sales of $156 million a year and employs
about 170 people.
