Lactalis, one of the largest multinational dairy companies in the world with revenues of €16bn and 61,000 employees, has agree to purchase all of the shares in Romania’s biggest dairy company Albalact.

Albalact was established in 1971, employs over 1,000 people, and processes and distributes milk, butter, sour cream, yogurt and cheese for the Romanian market, through its brands Zuzu, Fulga, and Poiana Florilor.

The deal has valued the company at €63.5m, which is 37% higher than its closing stock price on 27 January.

The deal must be approved by the Romanian Competition Council.

A spokesperson for Lactalis said the company is optimistic it can take a leading position in Romania if the deal gets approval.