Sugar hit
OPINION: Winston Peters has described the decision to sell its brand to Lactalis and disperse the profit to its farmer shareholders as a 'short sighted sugar hit'.
Saputo Dairy Australia (SDA) announced last year the retirement of its King Island Dairy brand, after being unable to find a buyer for the 132-year-old brand and its current facility.
Over the past year, SDA has sought to maximise value for the business looking for commercial and financial alternatives for King Island Dairy, including a potential sale to a third party. The business employs 58 people and is the single biggest employer on the island which only has a population of 1,600.
Is this a good omen for Fonterra as it tries to sell off its Australian consumer business that includes some of the top dairy brands across the ditch?
