Saputo completes acquisition of Neilson Dairy
December 02, 2008
by Eric Schroeder
MONTREAL — Saputo Inc. on Monday completed the acquisition of the activities of Neilson Dairy, a division of Weston Foods that manufactures, sells and distributes, primarily in Ontario, fluid milk and dairy beverages, cream products and non dairy creamers, butter, yogurt, juices and drinks under the Neilson brand and other brands. The $465 million transaction was first announced on Oct. 22.
Neilson Dairy employs approximately 390 people at its two facilities located in Halton Hills and Ottawa, Ont. The division has annual sales of approximately $600 million and annual earnings before interest, income taxes, depreciation and amortization of approximately $50 million.
According to Saputo, the transaction will enable its Dairy Products Division to increase its presence in the Ontario fluid milk and cream market. Neilson Dairy primarily operates within the retail market segment and, as part of the transaction, Saputo inherits Neilson Dairy’s long-term relationships with its customers.