Ridley to sell South Australia feed mill to Baiada for US$14M

AUSTRALIA – Ridley Corp. Ltd. has announced the sale of its Wasleys feed mill to poultry giant Baiada Group for AUD22 million (US$14 million). The transaction is expected to be finalised by June 30.

The decision marks a significant shift for Ridley, one of Australia’s leading providers of high-performance animal nutrition solutions. 

The Wasleys facility, which generated AUD3.5 million (US$2.24 million) in EBITDA over the past year, has sold more than 90% of its output to Baiada, a major player in Australia’s poultry sector with a market share exceeding 20%.

“We understand Baiada’s desire to own the feed mill as part of their expansion plans in South Australia, and Ridley looks forward to ongoing supply arrangements with Baiada in other regions,” said Quinton Hildebrand, Ridley Managing Director and CEO. 

“The sale represents a fair price for the Wasleys feed mill and the proceeds will further strengthen the Ridley balance sheet and support our growth ambitions.”

Baiada Poultry, a privately owned company, operates a fully integrated supply chain, including broiler and breeder farms, hatcheries, feed mills, and processing plants. 

With a workforce of around 2,200 and Australians consuming over 50 kilograms of chicken per person annually, Baiada continues to invest in long-term sustainability and food security.

“To meet Australia’s insatiable appetite for poultry… Baiada continues to look forward and invest to ensure we can continue to provide quality poultry for future generations to come – sustainably,” the company stated.

For Ridley, the sale aligns with its broader business reset strategy. While it reduces short-term earnings from the Wasleys site, the company expects to report a net gain of approximately AUD4 million (US$2.55 million) in EBITDA for fiscal 2025, after accounting for transaction and one-off restructuring costs announced earlier this year. 

The reset initiative remains on track to deliver annual cost savings of AUD5 million (US$3.19 million) in EBITDA from fiscal 2026 onward.

Ridley, backed by more than 70 years of experience, remains a key player in Australian agriculture. 

The company operates 20 feed mills nationwide, producing 2 million metric tons of feed in 2023 for a diverse range of sectors, including dairy, poultry, pigs, aquaculture, beef, and companion animals. Its portfolio of well-known brands includes Barastoc, Cobber, Rumevite, and Primo.

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