Saputo seeks buyer for King Island Dairy

Saputo is seeking a buyer for its King Island Dairy operations, revealing it is seeking to offload its interests on the Bass Strait isle.

Management announced a “strategic review of its King Island Dairy facility in Tasmania” this morning as well as confirming an additional $27 million towards improvement projects across its sites in Victoria and Tasmania.

The review will consider a range of commercial alternatives, including a potential sale to a third party, with its 63 staff informed of the financial deliberations.

Saputo chief operating officer Leanne Cutts said the processor hoped to find a buyer for King Island Dairy soon.

“In making these investments and strategic decisions, we remain focused on maximising our return for every litre of milk,” she said.

“(This will) further enhance SDA’s position as a high-quality, low-cost processor in Australia.”

Saputo is also in the process of selling its Laverton and Erskine Park processing sites, subject to regulatory approval.

“As King Island Dairy’s historic roots are deeply embedded in the region, we hope to find a buyer for the facility to ensure the continued success of its renowned specialty cheese products,” Ms Cutts said.

“We recognise the potential impact any decision may have on the King Island community, especially our employees and dairy farmers, and we are committed to thoughtfully considering all possible scenarios before any decisions are made.”

Alex Sinnott, The Weekly Times, 8 November 2023.

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