Following a Board meeting, the Board of Directors at Arrabawn headquartered in Nenagh with extensive operations in West Tipperary and East Limerick has decided to accept an offer from Aurivo to purchase Arrabawn’s liquid milk sales book.
Aurivo is headquartered in Sligo and had turnover of €570 million in the agri business sector in 2021.
Arrabawn, says the site in Kilconnell near Ballinasloe is not included in the sale and Arrabawn is looking at options for alternative use.
The co-op employs 110 people in this area of its business. Approximately half of these, mostly sales employees, will transfer with the business, with redeployment opportunities also being made available to others across the wider business.
The deal is subject to due diligence and approval from the Competition Authority.
Subject to the sale going ahead, it is anticipated that processing at the plant will continue until summer 2023.
Milk supply and upcoming liquid milk contracts will not be impacted by this decision.
Arrabawn co-op says priority is to support all employees and suppliers during the transition.
A consultation process is underway with staff to ensure all necessary supports are being provided during the transition.
