The Board of Dairy Innovation Australia Ltd (DIAL) has entered into an agreement for the sale of the DIAL culture production unit and strain collection to Chr Hansen Holding A/S (Denmark) and its fully owned unit Chr Hansen Pty Ltd (Australia).
The sale of this business unit is part of a strategic review by the DIAL board. The deal is expected to be completed in November.
DIAL chairman Peter Boyden said: "Securing a key international purchaser in Chr Hansen validates our decision to separate the Cultures Production Unit from the remaining consultancy functions of DIAL.
"It is important to the DIAL Board to know the supply of cultures to the Australian industry will be serviced by a global leader in the sector."
Nasdaq Copenhagen stock exchange-listed Chr Hansen is a biotechnology firm with expertise in fermentation technology. It has culture production facilities in Denmark, France, and the US. With the completion of the latest acquisition, it will have also have a facility in Australia.
Chr Hansen Pty Ltd has been serving the Australian dairy industry since 1951. The unit is based in Melbourne, with sales, laboratory applications, marketing, and supply chains providing service to the dairy, general food, beverage, and pharmaceutical industries in Australia and New Zealand.
Chr Hansen Pty Ltd country manager Kylie Evans said: "We are committed to best-in-class coverage and service to customers and we are proud to be trusted by the major Australian cheesemakers to supply the key ingredients to their important brands.
"Now we look forward to nurturing the starter culture business within the Chr Hansen family and becoming a stronger partner to our customers"
Several key staff of Dairy Innovation Australia will join Chr Hansen. The DIAL culture unit will continue production for core clients at the existing facility for 12 months while it decides upon a future location.
