Fonterra Co-operative Group Ltd is set to divest Mainland Group to Lactalis for $4.22 billion, aiming to streamline operations and maximize shareholder value while planning strategic investments for future growth.
Target Information
Fonterra Co-operative Group Ltd, a prominent player in the dairy industry, recently reported its business update for the first quarter of FY26. The company is on track with strategic initiatives aimed at enhancing operational value and meeting market demand. CEO Miles Hurrell acknowledged that Fonterra's Total Group earnings for the quarter have remained consistent with the previous year's figures, despite fluctuations in global commodity prices.
For Q1, Fonterra recorded a profit after tax of $278 million, reflecting an increase of $15 million, and translating to 17 cents per share. When excluding the costs linked to the Consumer divestment, the normalized earnings per share rose slightly to 18 cents, indicating a stable performance in the dairy market.
Access Full Deal Insights
You’re viewing a public preview of this deal. To unlock full access to ca. 50,000 other deals in our database and join ca. 400 M&A professionals who are using it daily, sign up for Dealert.
Industry Overview
The dairy sector in New Zealand is a critical component of the national economy, contributing significantly to exports and employment. The country's dairy production remains robust, supported by favorable
Similar Deals
Lactalis → Fonterra's global Consumer and associated businesses
2025
Lactalis
invested in
Mainland Group
in 2026
in a Other deal
Disclosed details
Transaction Size: $4,220M
Net Income: $158M