Glanbia plc shareholders have approved the proposal to enter into a dairy processing joint venture with the majority shareholder, Glanbia Co-operative Society.

At an Extraordinary General Meeting in Kilkenny today, investors supported the deal, which will see the plc take on the milk processing function in a joint venture split 60:40 between the two companies.

Some 71 per cent of co-op members last week voted to take majority ownership in Glanbia?s dairy ingredients business, which will be known as Glanbia Ingredients Ireland.

The existing dairy ingredients business is the largest dairy ingredients processor in Ireland. In 2011, it generated revenue of €738 million, operating profit of €33 million and earnings before interest, tax, depreciation and amortisation of €44 million.

The deal is now expected to be complete by the end of this week. The joint venture will involve the building of a new €180 million plant at Belview, on the Waterford-Kilkenny border.