Dairy company Ornua has signed an agreement to acquire the UK based cheese ingredients company F.J Need Foods for an undisclosed sum.

The family-run Cheshire-based business includes a cheese cutting, grating and slicing facility, two cheese brands, including the Spinneyfields brand, and a distribution fleet. 

Its cheese production facility currently produces 16,000 tonnes a year.

The former Dairy Board has made a number of acquisitions in recent years as it focuses on the UK, European and North American markets.

Ornua said the deal is still subject to UK competition approval.

"This acquisition will be another important milestone in Ornua's growth as a global supplier of quality dairy products," commented Ornua's chief executive Kevin Lane.  

"We are buying an excellent family dairy business which allows us to significantly strengthen our presence in the UK ingredients sector. The complementary nature of our customer bases and the potential to further scale the business makes this a strong fit for Ornua," he added.