MG said earlier this year that it would close three of its dairy facilities, totaling roughly 360 job cuts, which included the Edith Creek plant. The Australian dairy cooperative estimated the closings would bring in a net sum of A$40m-A$50m (US$30m-37m), as DairyReporter previously reported.
“We thank Edith Creek employees for their significant contribution to MG,” CEO Ari Mervis said in a statement.
“The decision to close this processing site was difficult to make, however a necessary step on the journey to ensure the competitiveness of MG. We congratulate Dutch Mill on their acquisition of Edith Creek, and wish them well for the future.”
Dutch Mill owns six dairy farms in the northwest region of Australia and the recent purchase of the Edith Creek facility was a “watershed moment for the region,” Circular Head Mayor Daryl Quilliam said.
“It is a real thrill to welcome and thank Dutch Mill Australia for their exciting news in rescuing Edith Creek,” Quillam said.
The transaction includes the Edith Creek land and all assets associated with the site. The transaction will not alter MG’s previously announced closure of the site on November 30, 2017, which will still proceed. Completion of the sale transaction is expected in early 2018, the company said.