DTS is an Australian provider of microbiological and chemical laboratory testing to the food and dairy industries.
As a result of the sale, Bureau Veritas Singapore and AsureQuality Limited will own all DTS shares.
Important strategic move
AsureQuality CEO John McKay said the acquisition is an important strategic move for AsureQuality.
“DTS is the market leader in Australia, contracting with Australia’s largest dairy processors and food companies, and this investment continues to strengthen our relationships with trans-Tasman customers.
McKay said that the acquisition meant the company’s credentials would strengthenas, “a global expert in dairy testing.”
“Bureau Veritas is a global leader in testing, inspection and certification and is looking to increase its interests in the food service business. Partnering with Bureau Veritas will strengthen both parties’ capacity to help our clients meet the growing challenges of quality and safety in the food supply chain.”
Access to Asia-Pacific markets
Bureau Veritas said the deal would give it access to markets controlled by the major agri-food players in Asia-Pacific.
“DTS’ solid reputation in food testing stems from both its comprehensive range of services, and the quality of its analysis,” said Didier Michaud-Daniel, CEO of Bureau Veritas.
“DTS enjoys long-standing partnerships with the largest industry players and I am delighted at the number of opportunities this presents. This transaction confirms the growing presence of Bureau Veritas in the agri-food testing market.”
DTS has four labs in Australia
The sale, subject to regulatory approvals, is expected to be completed by the end of May 2016.
DTS was set up in 1954 as a cooperative testing service company for dairy companies in Victoria.
Based in Melbourne, DTS has three other laboratories in Australia. It employs 400 people and had revenues of €35m ($39.8m) in 2015.
The new owners of DTS will continue to provide testing services to Fonterra.