Following a strategic review of its consumer products business, Glanbia has agreed new terms to its long standing relationship with Yoplait, the owner of the global Yoplait yogurt business.
Glanbia will sell the Yoplait franchise for Ireland back to Yoplait for cash consideration of €18m.
Under a new agreement, Glanbia will continue to distribute the Yoplait branded products and provide field sales support through its consumer products business based in Dublin.
Yoplait will progressively take over responsibility for production, marketing and account management in the Republic of Ireland and Northern Ireland.
As a consequence of this decision, production will cease at Glanbia's facility in Inch, Wexford (Ireland).
While Glanbia has held the Yoplait franchise for the manufacture and sale of the brand in Ireland since 1973, the decision to move away from the franchise model recognises the current challenging Irish retail environment, the company said.
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