Ornua has announced today (Monday, October 11) that is has completed the acquisition of US cheese ingredients business Whitehall Specialties (WSI) for an undisclosed sum.
The business has been purchased from Mason Wells, a private equity firm based in Milwaukee in the state of Wisconsin.
Ornua says that the acquisition complements its US Ingredients division – Ornua Ingredients North America (OINA) – and is “central to [our] long-term growth strategy in the US cheese ingredients market”.
This deal increases OINA’s current position in the US cheese ingredients market, expanding its production across six facilities in the states of Wisconsin, Minnesota, and Pennsylvania.
The acquisition “will be an important enabler of Ornua’s long-term growth strategy, unlocking significant growth capacity and flexibility to support its existing and new customers’ ambitious growth plans”, the Irish business said.
John Jordan, CEO of Ornua, said: “OINA is a core part of the Ornua business, delivering strong growth over the last ten years.
“By bringing together two market leaders, in complementary parts of the ingredients sector, we are creating a powerful partnership that builds a strong foundation for a long-term, sustainable future.
“We warmly welcome the Whitehall Specialties team and are looking forward to partnering with them as we look to our next stage of growth,” Jordan added.
Headquartered in Wisconsin – one of the most important milk producing states in the US – WSI provides “innovative functional cheese solutions to its longstanding food manufacturing and food services”.
It employs 450 people across four production and warehouse facilities.
OINA currently has two production facilities, including an “innovation centre providing functional cheese solutions across the US, Canada, Central America and South America”.
The announcement of the acquisition comes a week after Ornua confirmed its Purchase Price Index (PPI) for September.
The Ornua PPI for September is 121.8, or 36.6c/L inclusive of VAT. This is based on Ornua’s product purchase mix and assumed member processing costs of 7c/L and excluding member margin.