The EDC Business operations of Victoria-based Lion include cutting and wrapping, distribution, sales and marketing, and intellectual property associated with the COON, Cracker Barrel, Mil Lel and Fred Walker brands. It has annual sales of around C$156m ($126.8m).
The purchase price includes C$104.1m ($84.64m), which is the value of inventory net of a minimal amount of assumed liabilities.
WCB financed the acquisition through new bank term loans.
Lion-Dairy and Drinks produces and specialises in marketing and distributing milk, dairy beverages, cheese, yoghurt, juice and soy products.
The company purchases around one billion litres of milk from more than 550 Australian dairy farmers, and crushes roughly 75,000 tonnes of fruit from orchards across the country.
The cut and wrap operations under the transaction are located in a building owned by WCB near its cheese manufacturing facility at Allansford.
WCB expects the acquisition to expand its presence in consumer branded everyday cheese products segment in Australia.
Saputo intends to accelerate its growth in Australia through WCB.
Headquartered in Montreal, Saputo is one of major dairy processors in the world with its products being exported to more than 40 countries.
