Danone has announced the acquisition of New Zealand dairy processing firms Sutton Group and Gardians for an undisclosed sum.

Sutton Group is a manufacturer of infant formula and Gardians – a joint venture of the Sutton Group – is a milk powder drying plant.

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The move will see Danone bolster its infant formula production operation in New Zealand where it has one factory.

Speaking to just-food, a spokesperson for Danone Nutricia said: “This acquisition is in line with our commitment to New Zealand, and is a unique opportunity for Danone Nutricia to build on its long standing heritage in the New Zealand market.

“Acquiring established facilities and securing access to milk supply, creates immediate value and reduces opportunity cost related to building similar facilities. . We had always been interested in investing in New Zealand and were waiting for the right opportunity. The combination of the Sutton Group along with the Gardians business fits very well with what Danone was looking for”.

At the end of last month just-food reported on infant formula supply shortages in New Zealand and Australia.

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