Arrabawn Dairy Co-operative Society and Tipperary Co-operative Creamery said they have entered preliminary exclusive talks regarding possible integration of their operations, including potential amalgamation.
The two neighbouring co-ops said the talks are taking place with a view to creating a stronger entity within the Irish dairy industry.
If an agreement is reached, the milk pool of both would place a combined entity in the top four co-op processors in Ireland.
The two co-cops said that talks are at an early phase with no decisions made around a potential transition.
"A merger would only be considered if it would enhance the return for milk suppliers, members, employees, and customers, while at the same time maintaining the co-ops' commitment to delivering the highest quality product and sustainable development of the Irish dairy industry," a statement said today.
The co-ops said that further updates will be provided as appropriate and both co-operative societies will continue to operate their businesses as usual in the meantime.
