MORE than 11,000 farmers who are members of Glanbia Co-Op have shared a €148m cash windfall after receiving shares in publicly traded Glanbia Plc this week.
The farmers received the total of 12 million shares from the Glanbia Co-operative Society – which will be renamed Tirlán – after a deal with the stock exchange group last year.
The members of the cooperative have each received an average of 975 shares, which are currently worth just over 12,000 euros.
Following the spin-off of shares to its members, the cooperative remains Glanbia plc’s largest single shareholder with nearly 28 per cent ownership of the group. This share is currently estimated at almost €1 billion.
Glanbia Plc and Glanbia Co-Op agreed a deal last year in which the co-op paid €307m for the 40 Glanbia Ireland it does not own. This transaction was completed in April of this year.
Glanbia Ireland was formed almost six years ago following a deal between Glanbia Co-op and Glanbia Plc.
Glanbia Ireland is the country’s largest dairy company with sales of €1.9 billion in 2020 and profit after tax of €61 million. It owns well-known brands such as Avonmore and Kilmeaden. Sales are expected to reach more than 3 billion euros this year.
Around 15,000 farmers in Leinster and East Munster benefited from lucky breaks of up to €10,000 each when Glanbia Ireland was set up.
Glanbia Plc now focuses on performance nutrition products and nutritional solutions.
The cooperative shareholders are asked to approve the name change of the cooperative in Tirlán in the coming weeks.
Tirlán is wholly owned by farmers with 11 high-tech processing plants, 52 branches of agriculture and over 2,100 employees. It controls over a third of the Irish milk pool.
The company is present in markets such as Great Britain, France, Germany, United Arab Emirates, USA, North Africa, Japan and China and exports to more than 80 countries.
The company recently began construction of a €200 million state-of-the-art continental cheese facility at Belview in Co Kilkenny, in a joint venture with international dairy producer Royal A-ware.
Glanbia Plc last month reported strong first half sales with total sales up 27 per cent on a constant currency basis to £2.8 billion. On a reported basis sales were up 38.5 per cent helped by a strong dollar.
https://www.independent.ie/news/glanbia-co-op-farmers-get-148m-share-windfall-41986255.html Glanbia cooperative farmers receive 148 million euros in share profit