Saputo is set to build a new $240 million dairy processing facility in Port-Coquitlam, Canada as it aims to enhance its service in the Western Canadian market. Saputo estimates that the ‘state-of-the-art’ facility will be completed by 2021. The move comes as Saputo’s Canadian dairy division intends to improve operational efficiencies in order to mitigate pressure on margins, low growth and competitive market conditions and retain its position as one of the leading dairy manufacturers in the country. As part of this strategy, the company agreed to offload a production facility in Burnaby, British Columbia, in October 2018, for approximately $209 million. The company has also entered a lease agreement for this facility, until the construction of the new facility has been completed. Earlier this month, Saputo agreed a deal to acquire F&A Dairy Products, in a deal worth approximately $85 million.
Source : www.foodbev.com
Published on: November 6, 2018