Shareholders in Glanbia co-op can look forward to receiving their Glanbia plc shares in the coming months as the deal to buy 60% of Dairy Ireland closed today (Monday). However, as the deal is subject to revenue approval, it is likely to be September before the shares fall into the hands of co-op members.Shareholders had voted in favour of the deal in May. The €112m deal which also involved a €100m spin out for co-op shareholders and a €40m support fund saw the co-op reducing its ownership in the plc by a total of 5% to 31.5%.
Shareholders in Glanbia co-op can look forward to receiving their Glanbia plc shares in the coming months as the deal to buy 60% of Dairy Ireland closed today (Monday). However, as the deal is subject to revenue approval, it is likely to be September before the shares fall into the hands of co-op members.
Shareholders had voted in favour of the deal in May. The €112m deal which also involved a €100m spin out for co-op shareholders and a €40m support fund saw the co-op reducing its ownership in the plc by a total of 5% to 31.5%.
The spin out will see co-op shareholders receive 154 shares in Glanbia PLC for every 1,000 shares owned. Shares in Glanbia closed at €17.13 on Friday.
The final consideration payable to Glanbia plc for the dairy Ireland division is subject to finalisation of the value of actual working capital on the completion date, and completion accounts, which are currently being prepared. These will be published once finalised and agreed.
Glanbia Ireland will be majority controlled by the co-op (60% ownership) with the other 40% owned by the PLC. It will subsume the current Glanbia Ingredients Ireland (GII) joint venture, have sales of €1.5bn, control a 2.4bn litre milk pool, and include the grain and feed business along with consumer foods.
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