The sale puts to an end more than three years of rumour and speculation about the future of the operation — located in Scott River, just south of Margaret River — which had been in receivership since 2013 after accruing debts of $21 million.
An industry source said the investor, who at this stage could not be named, had purchased the operation as a «walk-out, walk-in» sale.
This means no immediate changes are imminent, and the dairy will continue to supply processor Harvey Fresh with 15-20 million litres of milk from 4,500 cows per year.
The industry source also played down rumours the new buyer would focus on exporting long-life milk, while dismissing suggestions the buyer may take on board four dairy farmers recently stood down by another WA processor, Brownes.
Neighbouring dairy farmer Ross Woodhouse said while the sale was «a long time coming», it was exciting for the WA industry, which has largely been immune to the issues affecting dairy farmers in Victoria and Tasmania.
«It shows someone can see a long-term future in our industry,» Mr Woodhouse said.
«It also shows they can see the potential for the asset.
«Most of the other potential purchasers didn’t see the value. They saw it for what it was and not in terms of the productive capacity of that property.»
Mr Woodhouse has 3,200 cows on his property and is aiming to produce 18 million litres of milk this year.
He said he had congratulated the new owners but did not know anything «in great detail» about them, other than they were looking to ramp up production.
«They’re not looking for a high rate of return on their investment, which is a sensible approach,» Mr Woodhouse said.
«This area represents a very good opportunity, and geographically, Western Australia will capitalise on future markets in Asia.»
Source: ABC