While Irish farmers and the agri-food industry decamped to the Ploughing in Tullamore this week, on the other side of the world shareholders in the Alliance group have begun to consider the Dawn Meats offer to buy into the business.

The formal documentation is being circulated to shareholders ahead of the first roadshow to explain the deal and answer queries on 29 September.

Between then and 14 October, 24 meetings are scheduled in different venues around the country.

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Alliance is a beef and lamb processing co-operative with six factories across New Zealand that until this point is entirely farmer-owned.

It has had a couple of difficult trading years and having unsuccessfully asked shareholders for an injection of funds, the board decided to look externally.

The result of this process was that Dawn Meats emerged as the preferred bidder, with a proposal to take a 65% stake in the business in return for a cash injection of NZ$250m, the equivalent of around €125m.

While this is approved by the board, it is the existing shareholders that have the final say.

Approval should be formality but no guarantees

Given the circumstances, it would seem likely that this won’t be a problem. However, with a 75% vote in favour required from the shareholders, that vote and that having to represent more than 50% of all shareholders in the business, nothing can be assumed.

When the announcement was made in August, the media release cautioned that if the Dawn deal didn’t get shareholder approval, “the Alliance board would be obligated to enter into a process led by its banking syndicate, which may involve possible asset sales, site closures and further cost-reduction initiatives”.

In plain English, this means that shareholders don’t really have a choice - it is the Dawn deal with them retaining a 35% stake in the business or the banks will dictate the next steps.

The vote will be held after the final meeting and the result will be known shortly thereafter.

Regulatory approval is expected to be granted and are expected before the end of the year. While nothing is certain until it happens, it is likely that Dawn Meats will be a key player in New Zealand from early 2026.

Good for the business but challenges ahead

With cattle and sheep supply tightening in Ireland, the UK and across the EU, potential for organic growth is limited to either adding more value to existing supply or acquiring competing businesses.

Dawn has recently acquired Kildare Chilling, but further opportunities are limited.

It is a bold initiative to take control of a business with six factories on the other side of the world.

Dawn has ventured overseas before, with a joint venture in Elivia in France, but decided to end that partnership.

It is not the first Irish meat processor to spread its wings - ABP has been in Poland for over a decade and now has three factories there.

No doubt Alliance will have its own customer portfolio for both beef and sheepmeat, but Dawn Meats can enhance this with its knowledge of and access to UK and EU markets.

Similarly, Alliance should be able to open doors for Dawn Meats, particularly in Asia and perhaps also in North America.

There will also be challenges. The reason the opportunity arose for Dawn to invest in Alliance was because it needed funds after two loss making years.

While the business will have potential and it has closed and sold one of its locations, it will need good management to restore it to being a profitable business.

No doubt Dawn has expertise in running successful meat-processing businesses, but it will have to find a way to make this happen on the other side of the world for the first time.