New Zealand dairy co-op Fonterra has confirmed it has made an offer to buy Australia’s largest dairy processor Murray Goulburn. The move to acquire Murray Goulburn was confirmed on Monday by Fonterra Australia managing director Rene Dedoncker, who was speaking on Australian radio station ABC.

“The answer is yes we have put forward a proposal. It’s non-binding and indicative and at this point we are going to sit tight and give the MG board the respect they deserve to consider all proposals,” said Dedoncker.