Tipperary TD Deputy Michael Lowry is welcoming the merger of Arrabawn and Tipperary Co-Ops, describing it as a significant move that will create one of the largest Co-Operatives in the country. The new entity will have 1,400 farmers supplying over 750 million litre of milk each year, generating a projected annual turnover exceeding €700 million.
The merger was approved by milk supplying shareholders in both Co-Operatives yesterday by a margin of over 94% in favour in both organisations. The new Co-Op created by the merger will be known as Arrabawn Tipperary Co-Operative Society. Deputy Lowry says ‘A major benefit of this merger is that the members of both Co-Ops will maintain control, as opposed to being taken over and subsumed into another company.”
The next step in the process will be to get regulatory and other approvals, including from the Competition and Consumer Protection Commission – however the deal is not expected to face any difficulty in securing approval. The new Co-Operative will put in place a two-year transition structure with existing Arrabawn CEO Conor Ryan taking on the role of CEO of the new entity. The current CEO at Tipperary Co-Op John Hunter is expected to stay with the organisation in a new role as the merger process is implemented.
