The Irish dairy giant Kerry Group has reached an agreement to buy the business-to-business powdered cheese division and related assets of the Kraft Heinz Company for $107.5 million (£92.5m).

Currently the powdered cheese division employed 62 people at the American Kraft Heinz factory in Albany, Minnesota. The purchase is expected to be complete in the coming months with the agreement subject to business completion adjustments. Kerry described the deal as enhancing the business’ scale, manufacturing capability, and customer base in the snack category.

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Kraft Heinz said that its Minnesota-based plant is expected to continue operating as normal under Kerry’s ownership, with all current employees there expected to remain on.

Earlier in August, Kerry announced an increase in its milk price of 2.5c/l bringing the price up to 56c/l (48ppl) at 3.3% protein and 3.6% butterfat, including VAT.