Arla's International Ambitions Prompt Merger Talks With Germany's Hansa-Milch

Scandinavian dairy giant Arla Foods has revealed it is holding merger discussions with German dairy cooperative Hansa-Milch. A merger would create a firm with greater geographical scope and expand Arla?s position into the attractive German market, which it has long coveted. A deal would need the approval of the respective farmer-members of the two cooperatives but if it were to go ahead the resulting business would be in a strong position to be the heart of the continuing consolidation within the European dairy sector.

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