Murray Goulburn announces Saputo to sell dairy plant

Company News

by Anna Napoli

Murray Goulburn (ASX:MGC) has announced that Canadian dairy giant Saputo has proposed to sell its Koroit dairy plant.

Saputo has proposed to sell the dairy plant in order to get the ACCC's approval for its pending takeover of Murray Goulburn.

The dairy company has lodged an undertaking with the consumer watchdog in regards to a proposed divestment plan for the Koroit plant.

The ACCC last week expressed concerns that the proposed takeover would have a negative effect on competition for farmers milk in South-West Victoria and South East South-Australia.

The proposed sale of the Koroit plant won’t impact the terms of the asset sale.

Shares in Murray Goulbourn (ASX:MGC) 5.88 per cent higher $0.90 yesterday.

Anna Napoli

Finance News Network
Anna joined FNN February 2018 and also works with Channel 7 as a freelance producer. Anna has also worked as a lawyer and lecturer. She has also presented news updates for interstate news with Southern Cross Austereo.