Tasmanian brands King Island Dairy and Tasmanian Heritage are up for sale.
After a four-week strategic review Lion chief executive Stuart Irvine announced the company’s intention to sell Lion Dairy & Drinks on Wednesday.
“Following careful consideration, we believe a sale of LDD is the best option to set both Lion and LDD up with the capital and resources needed to grow into the future,” Mr Irvine said.
“It’s clear from the further work done in recent weeks that LDD’s strategy to more fully leverage growing consumer wellness trends will require new capabilities and capital investment,” he said.
Deutsche Bank will coordinate the sale process, King & Wood Mallesons is the legal adviser and Greenhill & Co Australia has been appointed as the independent financial adviser.
Lion Dairy & Drinks’ sale will not impact Lion’s alcohol businesses in Australia and New Zealand.