AUS: Origo not in talks to buy Aus dairy UDP
Origo not eyeing dairy investment
Chinese private-equity group Origo Partners is not in talks to purchase Australian dairy group United Dairy Power, just-food understands.
Australian reports have suggested that the Beijing-based investment firm could be willing to pay around A$70m (US$61.5m) for the company, which operates two milk processing facilities in southern Australia.
Chinese investors are increasingly looking to the Australian dairy sector in order to meet growing demand for high-quality, safe dairy products. However, a source close to Origo insisted there is "no truth whatsoever" in the rumour it wants to invest in UDP.
While Origo does hold some investments in the food sector, it is understood the firm is not interested in expanding into dairy.
In August, the private-equity group filed a securities announcement revealing it would "commit to making no new investments until further notice".
"The company will concentrate on managing positions in existing portfolio companies and will consider follow on financings only where these will protect or enhance value," Origo said.
For its part, UDP is reportedly looking to unload a minority stake in the business.
Origo and UDP were not immediately available for comment.
- Nestle catering for an ageing global population
- What post-Brexit trade with the EU could look like
- Unilever is "working harder" in tough environment
- What next for Nestle under new CEO Schneider?
- What delay means for UK child obesity strategy
- Kerry Foods sets its sights on C-sector
- Tesco drops John West products over sustainability
- Job cuts imminent as General Mills restructures
- Greencore pays GBP15m for Cranswick sandwich unit
- New Quaker Oats range targets wellness trend