Dawn Meats completes €132m acquisition of NZ processor Alliance Group
Dawn Meats chief executive Niall Browne. Dawn Meats has completed the formal acquisition of New Zealand meat producer Alliance Group in a deal worth NZ$270m (€132m).
Dawn Meats has completed the formal acquisition of New Zealand meat producer Alliance Group in a deal worth NZ$270m (€132m).
The transaction sees Dawn Meats take a 65% stake in Alliance Group, with 4,300 farmer-shareholders retaining a 35% shareholding in the business.
“This joint partnership will unlock new and exciting opportunities for both companies and our farmer-suppliers in New Zealand, Ireland, and the UK. This investment expands our business significantly and positions us, our UK company Dunbia, and Alliance Group as a unified and dynamic industry competitor with a substantial presence and customer base in both the northern and southern hemispheres," said Dawn Meats chief executive Niall Browne.
"We are intent on ensuring we can maximise our new combined strength to provide existing and new customers with a year-round supply of sustainable and world class, grass-fed red meat."
Established in Kilmacthomas in Co Waterford in 1980, Dawn Meats already exports to more than 50 countries, and has 11 meat processing plants in Ireland and 13 in the UK. The business now has over €3bn in annual revenue, employing over 8,000 staff in 10 countries. The combined Irish and UK businesses process approximately 1m cattle and 3.5m sheep annually.
Alliance is New Zealand's largest processor and exporter of sheep meat, and a key producer of pasture-fed premium beef exported to over 65 countries. Alliance operates six processing plants in New Zealand.
"As part of our strategic partnership, Dawn Meats will now work closely with Alliance and its farmer-shareholders to identify and invest in capital expenditure upgrades, new technology and new sustainable business practices that will support the company's future growth and development," said Mr Browne.
With the transaction now settled, approximately NZ$188m (€92m) of the investment proceeds will be applied to reduce Alliance’s short-term working capital facility and NZ$20m (€99m) will be invested in the company’s strategic capital programme to lift performance.
Farmer-shareholders will also benefit from a distribution of up to NZ$20m in the current financial year (FY25/26) and up to NZ$20m in the next financial year (FY26/27).
“We can move from planning to implementation with a partner that brings scale, global reach and expertise that clearly creates a competitive advantage," said Alliance Group chief executive Willie Wiese. "This marks the start of an exciting new chapter for Alliance, one that is centred on value creation for our farmer-shareholders."
