Post

The Growth of Bega
_{Bega Cheese's $1.3 billion purchase of Lion Dairy & Drinks and Bellamy's Australia makes the company the largest in Australia}
^{June 29th}

The $600 million purchase of Lion Dairy & Drinks from the Japanese conglomerate Kirin, and the $700 million purchase of the Australian-owned Bellamy's Australia, will see Bega Cheese become one of the largest dairy/food companies in Australia, and quite possibly the largest.

Bega Cheese had humble beginnings, starting out as a dairying company in New South Wales' South Coast in the 1850s. The company started processesing and selling milk in 1960, and purchased 70% stakes in Tatura Milk in the 70s. Listed on the Australia Securities Exchange (ASX), Bega Cheese soon purchased the remaining 30% of Tatura Milk in August 2011 and the now public business begun it's rapid expansion.

In January 2017, with the collapse of Kraft/Mondelez Australia and New Zealand, the Australian businesses owned by the American Company were given to Bega, as well as the license to sell Dairylea and Snackabouts, as well as Kraft's peanut butter and Easy Mac. Bega's purchase of Mondelez ANZ also meant that Vegemite, a food heralded as an Australian icon, was finally put back in Australian hands - the 'Australian' brand had been American-owned since the 1930s.

Bellamy's Australia, who are the largest supplier of Organic Baby Formula and one of the largest organic food producers in the country, has faced a number of leadership issues since 2015, and has since paid the price - literally. Bega Cheese purchased the company, it's assets, and facilities, for $700 million today.

Lion Dairy & Drinks has been owned by Kirin since 2008. In talks and dealings with the company, who sought to sell the brand, Bega successfully acquired LD&D this afternoon. Bega's purchase returns Australian milk companies Dairy Farmers and Pura, as well as beloved flavoured milk company Masters/Big M, along with multiple other yogurt, cheese, and milk companies that have long been Australian household names, back into Australian hands. Ex-Footy Show Host Sam Newman called Bega 'the saviour of Australia's food industry' after he learnt of the purchase. KAP Queensland Senator Bob Katter has called on other large Australian companies to follow suit with a mass buy-back of Australian-owned businesses.