Dairy Farmers of America (DFA) Inc. has sold its 87.5 percent stake in its biggest property, Dallas-based National Dairy, to Mexican company Grupo Lala for an undisclosed amount. Based in La Laguna, Mexico, Grupo Lala’s U.S. operations are based in Dallas.
Kansas City-based DFA is a dairy-marketing cooperative owned by nearly 18,000 dairy farmers in 48 states. National Dairy operates 18 manufacturing plants and 79 distribution centers in 13 states. Its brands include Borden, Dairy Fresh, Velda Farms, Flav-O-Rich, Sinton’s, Cream O’ Weber, Meyer Dairy, Dairymens, Coburg Dairy, Goldenrod and Georgia Soft Serve Delights.
DFA plans to use proceeds from the sale to pay down debt and invest in new projects, DFA spokeswoman Kristi Bell said Friday. The transaction closed on Friday.
Grupo Lala spokesman Mark Bonacci said the company plans no changes to National Dairy’s operations. Grupo Lala now owns 100 percent of National Dairy.
National Dairy had about 4,700 employees on Dec. 31, and no jobs were lost in the transaction, he said. Grupo Lala “view(s) National Dairy as a great company with great brands,” Bonacci said, and the companies have “virtually no overlap in their businesses.”