Nature One Dairy to acquire Nepean River Dairy

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Nepean River Dairy’s manufacturing capabilities and product portfolio will merge into the Nature One Dairy brand. Pic: Nepean River Dairy

Australian based dairy manufacturer Nature One Dairy has announced it has reached an agreement to acquire Nepean River Dairy (NRD) Pty Ltd for A$36.5m (US$26.9m) on a debt free-cash free basis.

The acquisition supports Nature One Dairy’s strategic vision of building a global dairy company based in Australia, whilst complementing its current milk powder business with the addition of Nepean River Dairy’s liquid and ready-to-drink capabilities. The acquisition gave Nature One Dairy an enterprise value of A$70m (US$51.6m) pre-acquisition.

The acquisition will see Nepean River Dairy’s manufacturing capabilities and product portfolio merged under the Nature One Dairy brand, as the business continues extending its product range and portfolio for distribution across domestic and international markets.

Nature One Dairy founder and CEO, Nick Dimopoulos, said, “Our business has seen growth in excess of 30% over the past 12 months despite challenging conditions, which has served as proof that our strategy of establishing focused sales and distribution footprints in Southeast Asia and vision of building a premium, global dairy business with Australian made credibility is absolutely working.

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Pic: Nature One Dairy

“The acquisition of Nepean River Dairy will continue to strengthen our position and importantly, offer a new range of innovative products to our customers both locally and abroad. We’re looking forward to working with the team and continuing the strong growth of the business.”

Nepean River Dairy CEO, Emad Jommah, said, “Nature One Dairy shares our focus on premium dairy products, and I’m excited that Nepean River Dairy will be joining the business as it enters its next phase of growth. Nick and the team lead a fantastic business and I have no doubt that the mutual benefits across the two businesses will provide significant benefits and innovation for our customers.”

The acquisition is subject to shareholder approval at a NOD general meeting which is expected to be called and held in mid-August 2021.