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LION SALE OF STAKE IN WARRNAMBOOL CHEESE & BUTTER

Lion Pty Ltd (Lion) has today formally accepted an offer by Saputo Dairy Australia Pty Ltd, to acquire all of the ordinary shares Lion holds in (WCB), at an improved price of $9.05 per share.

Lion Pty Ltd (Lion) has today formally accepted an offer by Saputo Dairy Australia Pty Ltd, a subsidiary of Saputo Inc to acquire all of the ordinary shares Lion holds in Warrnambool Cheese and Butter (WCB), at an improved price of $9.05 per share.

While Lion will make a small profit as a result of the sale, its stake was a strategic one intended to protect the business’ broader interests, including longstanding contract arrangements with WCB.

Since the purchase of the WCB stake in 2013, Lion’s Dairy & Drinks business has made significant progress in its turnaround program, including the sale of everyday cheese assets to WCB in 2015 as part of its tightening focus on core dairy and juice categories. Today’s sale to Saputo is therefore a logical step and a positive outcome for Lion.

Existing contracts are unaffected by the sale, including Lion’s supply of parmesan cheese to WCB. Lion looks forward to continuing mutually beneficial commercial arrangements with WCB going forward.

For more information:
Charlotte Churchill
External Relations Director - Corporate
M: +61 403 479 966

Natalie Toohey
M: +61 409 239 459