Regulators allow Arla to acquire Volac’s whey nutrition business
The manager’s action comes after the review, after the signing of the purchase agreement in April.
“This is a very welcome decision at a time when the demand for high-quality whey products is increasing,” said Luis Cubel, group vice president and managing director of Arla Foods Ingredients.
“The acquisition will increase our production capacity of WPI for the sports nutrition market and lactose for the food industry. It will also allow us to increase the number of animals for the transfer of calf milk in our region .”
How the CMA regulates mergers and acquisitions.
The CMA is the UK’s main competition regulator. It works to strengthen business competition and prevent anti-competitive practices.
In commercial pricing, the CMA plays an important role by reviewing proposed and purchased relationships to ensure that they do not harm market competition, reduce consumer choice or lead to unfair pricing.
This regulatory review aims to protect consumers and maintain a healthy market environment by preventing private individuals or dominant companies from exploiting their market power.
To expand the sports nutrition center.
The Danish dairy company will acquire a stake in Volac Whey Nutrition Holdings Limited and its subsidiaries Volac Whey Nutrition Limited and Volac Renewable Energy Limited.
The UK-based Volac Group works hard to transform whey into sports nutrition ingredients, with products used for food and animal nutrition.
These types contain the main proteins that distinguish UltraWhey 90 (pure whey protein isolate with about 92% protein) and UltraWhey Xtra Pure (a high-quality protein with about 94% and less than 0.4% lactose.
Its unique brands include UltraWhey Velicious, a specially formulated whey protein powder designed for use in everyday products including ice cream, small format products (such as snack packs), bars, chocolate, spreads, fillings or cookies. It also includes Proâ‚‚O, a low pH whey protein isolate in a clear, ready-to-mix shake.
Arla Foods Ingredients’ current portfolio includes a range of Lacprodan solutions for sports nutrition applications including RTDs, powshakes and protein shakes. The acquisition will allow Arla Foods Ingredients to use the whey processing facility in Felinfach, Wales as a global manufacturing facility.
Increasing trends in sports nutrition
According to Euromonitor’s 2024 Consumer Health report, the global sports nutrition industry has grown at a CAGR of 9% since 2010 and is expected to reach $42.2 billion by 2028. For the standard, it was equal to and $28.1 billion by 2023.
As Euromonitor’s Matthew Oster explained during the recent Active Nutrition Conference, this can be attributed to the democratization of sports nutrition.
In the past, the need for active protein drinks was limited to hard athletes who were willing to ignore the sensory properties of the products if they provided the desired nutrients.
Now, sports nutrition products are attracting many, diverse consumers who want to improve their health and fight aging—understanding that extra protein can help them achieve these goals as part of muscle building exercises.
Nutrition Integrated, a leading nutrition information and data provider, recently reported a 12% increase in the number of whey protein products available to keep up with everyday consumer demand.
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