Pittsburgh, PA – The Department of Justice announced May 1 the conclusion of its investigation into acquisitions by Dairy Farmers of America Inc. (DFA) of fluid milk processing plants from Dean Foods Company (Dean) due to bankruptcy. A new motion filed the same day would resolve the competitive harm alleged in the lawsuit through the divestiture of the Franklin, Massachusetts, facility, as well as associated equipment and other assets related to fluid milk production. The divestiture process is now ongoing, and a new owner/operator is being sought.
As such, Harry Davis & Company, the dairy industry’s foremost asset solutions consultant, has been engaged to facilitate the sale to a new operator.
The facility, located at 1199 W. Central St., Franklin, MA 02038, boasts 300,000+ square feet in total including more than 210,000 square feet of refrigerated and production areas with enough cooler space for 106,000 milk crates. Roughly 450 employees operate 11 filling lines at an annual capacity of 130,000,000 gallons. The real estate includes 150+ acres and is within 500 miles of 20% of the US population. 180 unique products are currently produced at the facility, which will operate without interruption as the search for a new owner/operator continues.
“This is an opportunity that does not come around very often, and we expect it to sell quickly; rarely do we see such a large facility with a dedicated workforce come up for immediate acquisition proximate to one of the nation’s largest milksheds,” noted Leonard Davis, President of Harry Davis & Company.
“The replacement cost of the site is well north of $100,000,000 which makes the acquisition opportunity quite exciting. If someone is looking to enter the market or expand their operations to the east coast, it’s hard to envision another comparable scenario on the horizon not to mention the Garelick name has been well known in New England for over a century. We’re proud to play a role in knowing the Garelick tradition will continue in the community where it is so important to so many families and farms.”
“DFA has previously worked with Harry Davis & Company and we knew with their expertise and industry relationships they were the right partner to help us find a buyer for this facility,” said Greg Wickham, Chief Operating Officer of Dairy Farmers of America.
For more details and sale information, call 412-765-1170 or visit www.HairyDavis.com.
