Kavli, the cheese spread and dip manufacturer, has acquired UK goats milk product manufacturer St Helen's Farm.

The acquisition, for an undisclosed sum, represents a "major step forward" for Norway-based Kavli, it said. The addition of St Helen's will allow Kavli to expand its presence in the UK dairy market.

"This acquisition demonstrates the confidence that the Kavli Group has in the UK and as part of on-going strategy we will continue to look for opportunities that build our position in added value sectors of the dairy market in the future," said Kavli UK managing director Paul Lewney.

"We are determined to succeed in our ambition to grow Kavli in the UK and whilst doing so make it a sustainable, world-class business which generates significant profits for the Kavli Trust to distribute to good causes."

The St Helen's Farm dairy, located in the Vale of York, employs around 40 staff and produces goats' milk, cheese, cream, butter, yoghurts and ice-cream for supply to supermarkets across the UK.

Kavli employs 190 people across two manufacturing sites, one based at Team Valley in Gateshead and the other at Kirkcudbright in south-west Scotland. The company produces a range of food items including cheese spreads, snacks and ambient dips under the Primula brand and chilled pâté under the Castle MacLellan brand and for private-label customers.