Vote set for new Dairygold structure

DAIRYGOLD shareholders will hold a special general meeting in Mallow tomorrow to vote on proposals to further restructure the business.

Under the proposals, the co-op will transfer ownership of 75% of the shares in a new subsidiary, Reox Holdings, directly to members.

The co-op will retain the remaining 25% of the shares.

Members will receive their shares in Reox in direct proportion to their existing shareholdings in the co-op, on the basis of three shares in Reox for every four shares currently held in Dairygold Co-op.

“Therefore, at the outset, there will be no change in the ownership of the businesses and assets of Dairygold.

“The same shareholders will continue to own the same business, albeit in two different entities,” members have been told.

Dairygold chairman John Walsh said member response and interest in the proposal has been tremendous, particularly given the fact that it is currently an exceptionally busy time of year for dairy farmers.

“Reaction to the proposal has been very positive and we are looking forward to seeing the proposed new structure successfully established by a strong shareholder vote,” he said.

Mr Walsh called for a large attendance at tomorrow’s special general meeting to mark the confident step Dairygold is now about to make to build a more prosperous future for the benefit of it members.