Wexford Creamery made loss of €9.3m ahead of Glanbia sale

Wexford Creamery generated losses of €9.3 million for the 13 months to the beginning of May last year, according to its latest set of accounts.

During the period, the creamery was sold to Glanbia for €20 million.

However, up to 50 farmers shifted their supply to Northern Ireland’s Strathroy in protest at the terms of the deal.

In its final year of operation, the business posted a turnover of €75.7 million and had assets including pensions of €13 million.

As a result of the takeover by Glanbia, the creamery’s director decided not the recommend a dividend.

The deal saw Glanbia Ingredients Ireland buy 70 per cent of Wexford Creamery from farmer co-op Wexford Milk Producers.

Under the terms, Wexford Milk Producers received a cash payment of €3.7 million, to fund the acquisition of a 30 per cent stake in UK processor Dairy Crest, as well as allowing for the payment of a dividend to members.

The deal was given the green light following an investigation by the competition authorities.

The creamery’s principal business activity is the manufacture of cheddar cheese and other dairy products, and the sale of unprocessed milk during the winter months.