Saputo is reducing its operational exposure in Argentina after agreeing to sell a controlling interest in its local dairy business to Gloria Foods of Peru. The transaction values the business at approximately $855m and results in Saputo stepping back to a minority position.
Once completed, Saputo will hold a 20% stake and expects to receive about $543m in net proceeds after tax. The company will remain commercially linked to the operation through ongoing supply arrangements, allowing continued access to Argentina-produced dairy without direct day-to-day control.
The Argentina unit contributes roughly $1.2bn in annual revenue and accounts for around 7% of Saputo’s consolidated sales. Its assets include two manufacturing plants and a portfolio of established consumer brands, positioning it as one of the country’s largest dairy platforms.
For Gloria Foods, the acquisition provides immediate scale in a core dairy-producing economy and strengthens its presence across Latin America. The transaction also includes the transfer of a commercial office in Brazil, according to industry disclosures.
The move signals a broader strategic shift by Saputo towards reallocating capital away from higher-risk markets while maintaining supply continuity. Across the global dairy sector, processors are increasingly reassessing geographic exposure as currency volatility, margin pressure and return thresholds reshape investment decisions.
