Estonian dairy firm AS Kalev Paide Tootmine yesterday (1 October) acquired 100% of fellow local dairy concern AS Tere from AS Rubla.

Rubla is the majority shareholder in Kalev, which told just-food that the move would allow it to consolidate its dairy operations into one company.

"Restructuring our dairy business into one company will benefit the group, increasing competitiveness and efficiency," a spokesperson for Kalev said.

The move is the final phase of a reorganisation of Kalev's dairy interests.

Kalev acquired 8m outstanding shares in Tere from Rubla for EUR5.11m (US$7.07m), the company revealed.

The transaction is dependant on the approval of Kalev's shareholders.

Kalev said that it expects the deal to be concluded on 18 October.