VIBY J: Arla Foods and DMK Group have unveiled plans to merge, forming Europe’s largest dairy cooperative with more than 12,000 farmers and a projected annual revenue of €19 billion.
The proposed merger, announced by the companies on Tuesday, aims to strengthen the dairy industry by leveraging shared values and complementary strengths. Arla Foods said in a statement that the joint cooperative will ensure a stable milk supply and financial capacity for future investments in dairy.
Arla and DMK Group have collaborated on several projects in recent years, including the joint venture ArNoCo, which processes whey from DMK’s cheese production into high-quality dairy ingredients for Arla’s global business.
Jan Toft Nørgaard, chair of Arla Foods, described the merger as a “win-win” for both cooperatives, emphasizing their joint commitment to quality and innovation. “I see DMK Group as the perfect partner in shaping a new and strengthened Arla, poised to lead in the dairy industry,” he said.
Heinz Korte, chair of DMK Group, also praised the deal, saying it would enhance competitiveness and benefit farmers by expanding market reach and driving product innovation.
The merger remains subject to approval from the cooperatives’ board of representatives and regulatory authorities. If approved, the combined entity will operate under the Arla name with headquarters in Viby J, Denmark. Nørgaard will serve as chair, Peder Tuborgh will retain his role as CEO, and DMK Group’s Ingo Müller will join Arla’s executive management team as EVP of post-merger integration.
The final agreement will be reviewed by cooperative members, employee representatives, and works councils before being submitted for approval in June 2025.