Bega lifts stake in peanut grower

BEGA Cheese has succeeded in its bid to take outright ownership of nut grower Peanut Company of Australia.

The dairy group and spreads maker has snared a stake of more than 90 per cent in Peanut Company, meaning it can buy the rest of shares in a compulsory acquisition process.

Bega announced yesterday that shareholders accounting for more than 93 per cent of Peanut Company stock had agreed to the buyout offer.

Last month, the dairy group unveiled a $12 million offer for the peanut grower, which is based at Kingaroy, inland from Noosa.

The deal will give Bega a complete supply chain for its peanut butter, from farm to processing and manufacturing facilities in Port Melbourne and Queensland.

Executive chairman said ownership of Peanut Company was an important part of Bega’s strategy to create a “great Australian food company” that will offer a peanut butter made with only Australian peanuts.

“This strategy and acquisition will enable us to expand the production of peanuts in Queensland,” Mr Irvin said in a statement.

“This means more farmers, larger crops and secure manufacturing jobs in Queensland.”

Bega makes its peanut butter at the Vegemite factory in Port Melbourne. The group will now have two peanut processing centres in Queensland.