DMK Group and Arla Foods Move Towards Creating Europe's Largest Dairy Cooperative
Sourse: dairynews.today
The German DMK Group and Arla Foods have announced their intention to merge, potentially forming Europe’s largest cooperative dairy company, pending approval from the European Commission.
The German DMK Group and Danish-based Arla Foods, which is a cooperative of several hundred Belgian farmers, have taken initial steps towards merging into what could be Europe’s largest cooperative dairy company. A large majority of farmers from both organizations have approved the merger. The new entity will represent over 12,000 dairy farmers, as it combines approximately 4,600 DMK-affiliated farmers from Germany and the Netherlands with Arla's existing 7,600 members spread across Denmark, Sweden, the United Kingdom, Germany, Belgium, Luxembourg, and the Netherlands. Jointly, the companies generate an annual turnover nearing €19 billion and employ around 28,700 people.
The merger seeks to blend Arla’s expansive international reach with DMK's strong product portfolio and expertise. However, the merger awaits the go-ahead from the European Commission, a verdict expected by March of the following year. Until then, both companies will maintain separate operations.
The merger seeks to blend Arla’s expansive international reach with DMK's strong product portfolio and expertise. However, the merger awaits the go-ahead from the European Commission, a verdict expected by March of the following year. Until then, both companies will maintain separate operations.
