Dairy co-operatives Arrabawn and Tipperary are in preliminary exclusive discussions over a possible merger of the two operations.
The companies said they were discussing “possible integration” in an exclusive exploratory process, including a potential amalgamation, as they sought to create a stronger organisation in the dairy industry that would put it in the top four in Ireland.
However, discussions are still at an early phase, and any potential changes would need to be approved by the boards and suppliers in both co-ops.
The co-ops said a merger would be considered only if it enhanced returns for suppliers, members, employees and customers, and maintained quality.
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