Dutch dairy FrieslandCampina to acquire Philippines Alaska Milk for $457 mn
10 Mar 2012
Dutch dairy cooperative Royal FrieslandCampina NV plans to acquire the remaining shares it does not already own in Philippines' biggest milk manufacturer Alaska Milk Corp, for $457 million.
FrieslandCampina, the world's fourth largest dairy company, will buy Alaska Milk's founding Uytengsus family stake for $302 million, taking its holding in the Manila-listed company to 68.9 per cent from the current 8.1 per cent.
The Amersfoort, the Netherlands-based company is paying 24 pesos per share, a premium of 50 per cent to Alaska Milk's 8 March closing price.
FrieslandCampina, whose brands include Friesche Vlag, Chocomel, Dutch lady, Campina, and Mona, will launch a tender offer to buy the remaining shares in Alaska Milk, whose stock price soared by 25 per cent yesterday.
With annual revenues of over €200 million, Alaska Milk has emerged as one of only two major milk companies in the Philippine dairy industry. It is a leader in the liquid canned milk category and a strong and growing position in powdered milk. It has also recently expanded into higher value-added milk products, particularly in the ready-to-drink milk category.
The company employs over one thousand people and operates a manufacturing facility in San Pedro, Laguna.
