Suiza and Dean make further concessions

Posted 1 December, 2001
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USA – Suiza Foods and Dean Foods are to sell a further five plants to resolve regulatory issues relating to their pending merger.

The announcement takes the total number of plants being divested to 11, including sites in Alabama, Florida, Indiana, Kentucky, Ohio, South Carolina, Utah and Virginia. The likely buyer for the plants is Texas-based National Dairy Holdings, a partnership between a number of US dairy companies including Dairy Farmers of America (DFA).

Suiza Foods is also expected to modify the terms of its buyout of the minority interest in its dairy group held by DFA. Completion of the merger and the sale of the plants are subject to final regulatory review, although the two diaries hope to have a deal agreed by the end of the year.