FrieslandCampina and Ultrajaya Form Strategic Partnership in Indonesia

FrieslandCampina and PT Ultrajaya Milk Industry have formalized a strategic partnership, which includes Frisian Flag Indonesia (FFI) joining the Ultrajaya Group. This collaboration aims to expand their reach within Indonesia's dairy and ready-to-drink beverages market.

As part of this agreement, FrieslandCampina will acquire a controlling interest in Ultrajaya, pending the completion of the transaction and customary conditions such as Ultrajaya shareholders and Indonesian regulatory approvals. The FrieslandCampina Members’ Council has approved this transaction.

Despite FFI's integration, both companies will maintain their brands, portfolios, and organizational structure. They plan to combine capabilities to boost value creation, while Ultrajaya will remain based in Bandung with its current leadership.

Sabana Prawirawidjaja will continue as President Director, and the Prawirawidjaja family retains a significant shareholding. FrieslandCampina's international dairy expertise will complement Ultrajaya’s established market presence and strength in ready-to-drink beverages.

FFI's strong market recognition in Indonesia complements the partnership's goal to provide extensive access to nutritional dairy products. Under Indonesian law, FrieslandCampina will issue a mandatory cash tender offer to Ultrajaya's minority shareholders once it gains a controlling interest, with further details to be announced via the Indonesia Stock Exchange.