Iconic King Island Dairy sold to Aussie buyers
Canadian giant Saputo has announced the sale of the historic dairy business after a drawn out search. See the details.
The future of Saputo’s famed King Island Dairy has been revealed, with a buyer for the processing facility secured after a more than year-long search.
Saputo Dairy Australia announced on Friday it had sold its King Island Dairy business, home to more than 60 staff and its renowned specialty cheese products.
The purchaser of King Island Dairy is understood to be a newly formed entity, King Island Dairy 2 Pty Ltd— a venture between Melbourne-based Australian businessmen Nicholas Dobromilsky and Graeme Wilson.
While SDA has disclosed the sale, the buyer is expected to make its own announcement in the coming days. The value of the sale has not been disclosed.
Affected employees will receive an offer to transfer their employment to the King Island Dairy 2 Pty Ltd.
In November 2023, Saputo revealed its intentions to sell the King Island Dairy operations, but by late September 2024, the Canadian dairy giant announced the closure of the facility with plans to retire the brand in 2025 after declaring there were no interested parties.
In the following months Saputo worked with the Tasmanian Government as part of continued efforts to find a buyer.
“We are very pleased to have reached a sale agreement for the buyer to purchase the King Island Dairy facility and brand, the onsite cheese store and two local farms that provide a guaranteed milk supply,” SDA director of operations and supply chain Gerard Lourey said.
“We deeply appreciate the ongoing support of our dedicated King Island employees, suppliers, customers, the local council and the Tasmanian Government during this challenging period for King Island Dairy.
“We thank them for their patience, resilience and collaboration.
“While King Island Dairy will not be part of our portfolio moving forward, SDA remains committed to further growing the value of our domestic and premium export products as part of our long-term vision for success in Australia.”
All impacted employees have been advised of the sale, with the sale transaction expected to be completed by mid-year.
More to come.
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