Lactalis and Bayerische Milchindustrie eG (BMI) Sign Agreement for Sale of BMI’s Milk and Fresh Food Business
Kehl/Germany, March 25, 2022 – The Lactalis Group and Bayerische Milchindustrie eG (BMI) have signed an agreement for the sale of BMI’s Fresh Food business unit, which includes product groups such as fresh milk, yogurt, quark, cream, Ayran, and others, as well as the production facility in Würzburg (Bavaria). The agreement includes the acquisition of regional South German brands like Frankenland, Thüringer Land, and the ethnic brand Haydi. This business unit generates annual sales of approximately €200 million.
Through this acquisition, Lactalis aims to establish a close and long-term partnership with South German milk producers to further develop the market for regional products in food retail, national foodservice, and ethnic trade. “We want to continue BMI’s successful work by further developing the regional brands Frankenland, Thüringer Land, and Haydi. Furthermore, we aim to secure good and sustainable economic prospects for partner farmers while strengthening Lactalis’s position in Germany, just a few months after the integration of Leerdammer with its strong presence in the German market,” says Morten Felthaus, Managing Director of the Lactalis Group in Germany.
“BMI eG will focus more strongly on its core competencies of Ingredients and Cheese. Therefore, BMI’s Executive Board and Supervisory Board have accepted Lactalis Group’s offer and decided to sell the Fresh Food Business Unit. We view this transaction entirely positively,” says Thomas Obersojer, CEO of Bayerische Milchindustrie eG. “The collaboration with Lactalis represents a good economic perspective for the transferring farmers. It is important to us that the milk, the sites, the jobs, and the brands remain together in this future-oriented setup.” The approval of the transaction is subject to review by German and Austrian antitrust authorities. The conclusion of negotiations is expected by mid-this year.
