Omira shareholders vote in favour of Lactalis takeover

At the annual general shareholders´ meeting on 22 June, the Omira shareholders approved the takeover of German dairy Omira by France’s Lactalis Group with an overwhelming majority of 97.8%.

The main topic of the AGM was the vote about a package of future‐oriented measures which centers on the takeover of Omira by Lactalis. Important aspects of this package are: securing a high milk price on a long‐term basis for all Omira milk producers. The milk price will be guaranteed for a period of at least 10 years, it will correspond to the Bavarian AMI milk price index and, taking into account all individual surcharges (quantity surcharge, GMO‐free surcharge, etc.), will be above the Bavarian average milk price; redemption of the shares in the company held by milk producers; access to international markets which will open up new sales channels; further development of and investments into the Ravensburg (powder and ingredients) and Neuburg (fresh products) sites.

After the necessary formal approval by the antitrust authorities, which is expected in August, the day‐to‐day Omira business including all employee contracts (with all collective bargaining regulations as well as employee seniority) will first be transferred to Omira Industrie – In a second step, Lactalis will then take over Omira Industrie.

Omira Oberland‐Milchverwertung will remain independent under the ownership of the Omira milk producers. Its sole task will be the procurement and management of the raw milk supply. It will continue to collect the milk of the individual milk producers and the cooperatives and sell it in bulk to Lactalis. The company will be represented by the current members of the supervisory board. All contracts – including notice periods ‐ between individual milk producers and cooperatives and Omira Oberland‐Milchverwertung, will remain intact. The milk price guarantees secured by the contracts signed with Lactalis will be in effect from 1 September 2017 until at  least 31 December 2027.

To ensure a solid basis for his future work for Omira Oberland‐Milchverwertung, the chairman of the supervisory board, Erich Härle, asked the shareholders to renew their confidence in him. They expressed their confidence with a vote of 86.5% in his favour.