Lactalis Expands Its UK Dairy Footprint with $1.34 Billion Acquisition

Lactalis France has agreed to acquire Saputo Dairy UK Ingredients’ dairy business in a deal valued at $1.34 billion, marking another major step in the French dairy giant’s international expansion.

The transaction brings a portfolio of leading UK brands under Lactalis, including Cathedral City, Wensleydale Creamery, Country Life butter, and Clover margarine. It will significantly strengthen Lactalis’ position in key categories such as cheddar, butter and spreads across the British market.

Saputo’s UK operations employ around 1,300 people and generate the vast majority of their revenue in the domestic market, making the deal a significant consolidation in one of Europe’s most mature and competitive dairy sectors.

For Lactalis, the acquisition reflects a broader strategy of expanding global scale through targeted acquisitions, strengthening its presence in established dairy categories while accelerating growth beyond organic expansion.