As Tirlán continues its task of steadily converting its shareholding in Glanbia plc to hard cash, tough questions are being asked about the best way for it to spend the almost €1bn it now has at its disposal.
The challenge for the co-op is that any investment needs to make a decent return to farmers, and quickly.
It might be easy enough to make an OK return from investing a few thousand or even a few million, but investing €1bn is a different story.
The Dealer got thinking, what could it buy close to home that would still deliver value to farmers?
One option is to buy out its co-op colleagues in Ornua and take over the Kerrygold brand outright. That way it would no longer be competing with it in the US market.
I’m sure Dairygold and Lakeland, as the largest shareholders in Ornua after Tirlán, would be glad of the windfall.
Of course, the nitrates derogation is never far from farmers’ minds, particularly with the disappointing water quality results out this week.
With 15 towns continuing to pump raw sewage into the sea, and a further 34 treatment plants causing pollution to rivers, maybe Tirlán should match the €1.7bn a year Uisce Eireann have to spend improving water infrastructure.
Doing so however, may leave them open to being accused of pouring it down the toilet.
SHARING OPTIONS