Italian dairy group Parmalat has inked a preliminary agreement to sell its Lodi dairy business to Newlat.
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Lodi manufactures cheeses under the Ala, Polenghi and Optimus brands and currently employs 93 workers. Newlat will maintain present staffing levels, Parmalat said.
The deal will see Newlat acquire Lodi and a portion of real estate consisting of land and two properties used for the business.
Commercial agreements for supply and distribution will be executed to ensure coverage of the region presently covered by the existing business through the Parmalat distribution network.
Lodi will be sold for a consideration of EUR150,000 (US$191,046), which is equal to the value of Lodi’s assets minus its liabilities.
Assets include EUR3.1m cash, which will be compensated by the positive balance of trade receivables and payables not being transferred with the business, Parmalat said.
