Reports suggest Donegal Creameries and Connaught Gold are close to final deal

Neither Donegal Creameries nor Connaught Gold are commenting this evening on renewed speculation that a deal has been done to sell Donegal's milk division to Connaught Gold.

At a press conference last week, Donegal Creameries would only say that discussions are taking place in a national context on how best to sustain and develop the sector, and talks with neighbours form part of that process.

He said in the event of a deal being finalised, a formal announcement will be made to the stock exchange.
There's been no statement from Connaught Gold following reports that their accountants are now examining Donegal Creameries books as part of the due diligence process following agreement on a provisional deal.

Last week's half year report from Donegal Creameries reported losses in it's dairy sector, but said in the long term, it's expected those losses will be clawed back.