Ornua announced the completion of the sale of the majority of its 90% stake in CoreFX Ingredients LLC to the company’s chief executive officer Denis Neville.

Neville said that he is excited to “embark on this new chapter” and that a “clear strategic vision and focus on innovation” will position the company as a leader in the markets it serves.

Ornua will retain less than 20% of the business following the deal.

Ornua acquired its majority ownership of CoreFX in 2016 for approximately €4m and had invested in the company since, including the opening of a new innovation centre in Chicago in 2017 and the expansion of facilities at CoreFX’s manufacturing site in Orangeville, Illinois.

In 2016, then-CEO of Ornua Kevin Lane described the acquisition as a “key milestone in Ornua’s US expansion programme”.

'Non-core business'

In announcing the sale of the business, Ornua said it had been “identified as a non-core business within Ornua’s current five-year growth plan and its sale is aligned with the strategic objectives of the group”.

CoreFX has a powder ingredient spray-drying facility and used that and dry blending technologies to make dairy, cheese and lipid powder ingredient products.

Ornua’s five-year growth plan 'path to prosper' was developed under former CEO John Jordan and includes the period up to 2027.

Ornua announced earlier this year that Dairygold CEO Conor Galvin will take over as Jordan’s permanent replacement from May.