Under the terms of the agreement, Saputo will pay $270.5m to buy Fairmont Cheese Holdings – the parent company of DCI.
Saputo said in a statement that in addition to its own specialty cheese portfolio, DCI holds an important portfolio of import licenses for cheese manufactured abroad as well as selling other dips and spreads. In 2010 DCI had sales of about $460m and an EBITDA of about $34m.
The acquisition is subject to regulatory approval but is expected to be close as early as next month. Saputo is the largest dairy processor in Canada and the 12th biggest globally.