Lakeland Dairies has bought a Belgian-based butterfat business, De Brandt Dairy International NV.
The deal, the financial details of which have not been disclosed, includes De Brandt's customer base and its other key assets in mainland Europe.
Lakeland said the transaction would allows it to significantly grow its operational capability in the premium texturised butter market.
"The acquisition of the De Brandt butterfat business is a real show of strength by Lakeland Dairies and opens up new markets, product categories and opportunities for the co-op to further grow and develop its European business," said Lakeland Dairies Chairperson Niall Matthews.
"I acknowledge the hard work and dedication of those involved in concluding this deal and I look forward to seeing the integration of the De Brandt butterfat business into Lakeland Dairies for the benefit of our farmers, our staff, our customers and the broad community of people we serve."
De Brandt is a family-owned business established over 100 years ago and based at Dendermonde, approximately 30km north west of Brussels.
The two firms have had a long relationship over decades, including through direct supply arrangements.
Texturised butter is used in the catering and baking industries.
