Danish dairy group Arla Foods has entered into talks with its UK subsidiary, Arla Foods UK, which may lead to a recommended cash offer to purchase the remaining 49% of shares that Arla does not already hold.

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“We are unable to give more background or further information at this time because of restrictions imposed on us by the City Code on Takeovers and Mergers. All I can say is that our approach is a natural development from the merger in 2003 between Arla Foods plc and Express Dairies. We are now in talks with our British subsidiary about a possible bid for the remainder of the shares. We will make further announcements in due course”, Arla Foods CEO Peder Tuborgh said.


Shares in Arla Foods UK increased by 10.33% in early morning trade following the announcement, from 58 pence (US$1.09) at close of trading last night to 63.99 at 10am (GMT).

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