Food and dairy company Goodman Fielder Ltd has agreed to sell its edible fats and oils operations to global food and agricultural products group Cargill for $AU240 million ($NZ302 million).
The business processes edible fats and oils and supplies these to manufacturers and wholesalers in New Zealand and Australia.
Goodman Fielder managing director Peter Margin says the business was divested as it did not fit with its core business of manufacturing and marketing everyday branded consumer foods.
He says the sale price is "significant premium to the carrying value of the business".
Assets sold includes Goodman Fielder's four fats and oils refining facilities, though it will retain title to the land at its Brisbane facility, subject to an extended lease back to Cargill.
Goodman Fielder says the sale also includes a 10-year supply agreement in which Cargill will supply fats and oils for Goodman Fielder's home Ingredients brands and businesses.
