Shareholders in Alliance Group - New Zealand's largest processor and exporter of sheep meat - have voted in favour of a deal that will see Dawn Meats take a majority stake.
The Co Waterford-based meat processor will take a 65% stake in Alliance as part of a €132m strategic partnership.
Much of that money will go towards reducing Alliance's debt. The deal is still subject to regulatory approval however.
A total of 2,675 Alliance Group shareholders voted, representing more than 88% of all shares on issue. Of these, more than 87% voted in favour of the proposal, meeting the threshold required under the Takeovers Code.
Alliance exports to over 65 countries and operates six processing plants in New Zealand.
Niall Browne, the chief executive of Dawn Meats, said the company looks forward to maximising the potential of the new opportunities this strategic partnership will unlock in the future for both Dawn Meats and Alliance.
"Dawn Meats has a proven track record of successfully partnering with other businesses and we believe this joint venture with Alliance will assist in further growing and developing what is an excellent New Zealand business with a proud legacy of processing and exporting the highest-quality grass-fed lamb, beef and venison," he said.
"Dawn Meats already has a strong operations network in Ireland, the UK and in the EU. Having the ability to now grow in partnership with some of New Zealand’s leading farmers and create a year-round supply for our customers between the Northern and Southern Hemispheres is a fantastic opportunity and one our customers are already responding to," he added.
Mark Wynne, the Chair of Alliance Group, said the result demonstrated strong farmer confidence in the company's future direction.
"Our farmer-shareholders have given a clear mandate for Alliance to move forward in partnership with Dawn Meats. This is a vote of trust in our people, our operations and our vision," Mr Wynne said.
"This essential investment will strengthen our financial position, enhance our operational capability and enable us to capture more value in market for our farmers and the country. Importantly, the agreement also preserves farmer ownership, with a continuing 35% shareholding and strong governance rights," he said.
Today's positive outcome followed a comprehensive two-year process to reset and re-capitalise the business," he added.
