Foremost Farms to Sell its Lactose Business to Kerry
Wisconsin Ag Connection - 03/06/2018
Foremost Farms USA plans to divest its pharmaceutical lactose business located near Wausau later this spring. On Monday, the Baraboo-based cooperative announced it has agreed to sell the FastFlo brand to Kerry Ingredients, which has been handing the marketing responsibilities of the division in recent years. However, the companies will continue to work together with Foremost providing milk solids to the Rothschild plant as part of a long-term supply agreement.
"Both companies decided that to strategically compete in the pharmaceutical business, the manufacturing and marketing of these products need to be combined under one ownership to remain competitive in today's rapidly-changing environment," said Foremost
Farms CEO Michael Doyle.
The move will mean a substantial loss of jobs in the areas. Foremost notified the Department of Workforce Development that more than 100 positions will be eliminated as a result of the transition, which is expected to happen in May.
Doyle said both companies believe the acquisition will be the best way to drive profitability and growth in the marketplace while still protecting the interests of both companies into the future.