DFA Purchases Agropur’s St. Paul, Minnesota Dairy Processing Plant

DFA Milk Trailer Tank Semi Truck
( Wyatt Bechtel )

Dairy Farmers of America (DFA) has entered an agreement with Agropur to purchase Agropur’s St. Paul, Minnesota, dairy processing facility.

The acquisition of the facility expands DFA’s extended shelf-life capabilities, along with introducing aseptic processing into the cooperative’s business portfolio.

“This acquisition offers an opportunity to grow our customer base while strengthening our processing capabilities for existing customers and diversifies our product portfolio,” says Pat Panko, Senior Vice President and Chief Operating Officer for DFA’s Fluid Milk and Ice Cream Division.

The dairy processing facility produces a variety of fresh, extended shelf-life and aseptic dairy products for well-known grocery store chains and organic milk brands.

Regarding the sale, Doug Simon, President of Agropur, adds, “DFA is a tremendous organization with strong cultural and business ideations that marry well with those of Agropur’s cooperative roots. Our focus has been and will always be meeting the needs of our customers and being strategic in our investments toward complementary growth areas. This transaction is well aligned with long-term strategic plans for both parties. ”

Employees at the plant will retain their current positions. Also, the management team at the plant will continue to manage all day-to-day operations, including customer relationships, milk procurement and production.

According to a joint release from the cooperatives, the sale is still pending satisfaction of customary closing conditions. The transaction is expected to close in early January.