Numico sells milk powder production

Infant nutrition company Royal Numico says it has reached 'in principle' an agreement for the sale of its milk powder production subsidiary Nutricia Lyempf, based in Kampen, the Netherlands.

The business mainly produces milk powders for third parties and had net sales of approximately ?30 million in 2003.

It will be sold to Alsi Beheer, a Dutch company that specializes in the import and export of milk powders through its subsidiary Frésena-Salland.

The sale is in line with Numico's new strategy to fully focus on baby food and clinical nutrition. The firm recently announced the acquisition of Finland-based Valio's baby food business for €57 million in cash.