Strategic Synergy

By uniting two of Europe’s leading dairy companies, the merger aims to boost our relevance to customers and secure new opportunities for our business, ultimately enhancing the value of our farmer’s milk.

Here’s how the merger will achieve these objectives:

Greater Market Reach

The merger expands the cooperative’s global presence, providing access to over 160 markets and enabling us to reach more customers worldwide. This broader reach allows us to deliver nutritious, high-quality dairy products to a larger audience, supported by a complementary product portfolio.

Stronger range of products

with strong market positions within categories such as butter & spreads, milk-based beverages, cream cheese, mozzarella, yellow cheese (Edam, Gouda, Maasdam), and with whey proteins and ingredients, the merger enhances our ability to meet diverse consumer needs. This strengthened range of products and brands allows us to capture more market opportunities and solidify our presence in the dairy sector.

[Translate to English:] Arla Foods Standorte

Arla Foods Sites

More Investment and Innovation Power

The merger enhances our investment and innovation capabilities, enabling a step change in performance through new technology and innovation. By pooling resources, we can drive advancements that improve product quality and operational efficiency, and we will continue to invest in future growth opportunities.

Operational Leverage

Through the adoption of best practices from each partner, the merger enhances efficiency and operational strength. This operational leverage results in reduced costs and improved productivity, benefiting the overall business and its farmer owners.
The merger of Arla Foods and DMK Group is a strategic move designed to increase efficiencies, enhance market presence, and secure longterm stability. By leveraging shared resources and expertise, the merged entity is well-equipped to deliver superior value to farmers, consumers, and customers alike.

[Translate to English:] DMK und DOC Kaas Standorte

DMK und DOC Kaas Sites

Process

Completion of the merger will require approval by the relevant cooperative bodies of Arla Foods and DMK Group and will also be subject to approval by regulatory authorities. Clarity on the regulatory approvals is expected by the end of 2025.
After this approval, the businesses of Arla Foods and DMK Group will be combined step by step. For the farmer owners, a two-year transition period will start where the democratic structure and processes, payment model, and on-farm standards gradually merges towards Arla’s model.
The two-year transition period has the purpose of making sure all farmer owners are given time to adjust to – and prepare for – the new situation.

Timeline

01

9 APRIL – 16 JUNE

Farmer engagement

Ahead of the Board of Representatives meetings on 18 June 2025, farmer owners are engaged in the process.

02

18 JUNE

Merger approval

The relevant cooperative bodies (see below) at Arla Foods and DMK Group will vote on the merger agreement.

03

19 JUNE ONWARD

Regulatory approval process

If the above-mentioned cooperative bodies approve, Arla Foods and DMK Group will file applications with relevant regulatory authorities.

04

END 2025

Expected regulatory approval

Arla Foods and DMK Group expect to receive clarity on the regulatory approvals by the end of 2025.

05

START 2026

Transition period begins (day one)

If regulatory approvals are in place, business integration and two-year transition period for the farmer owner begins.