Sunday, July 19, 2020

Borden Dairy Corporation

On Aug. 19, 1856, Mr. Borden received a patent for his process of condensing milk and soon began opening milk factories. After some initial financial difficulties, Mr. Borden founded the New York Condensed Milk Company with his partner, Jeremiah Milbank, and opened the first successful plant in Wassaic, NY in 1861. Borden was the first company to develop a patent for the process of condensing milk, as well as the first company to use glass milk bottles.

By the early 1990s, however, Borden Inc. began experiencing financial distress, resulting in a number of its business units being divested. In 1995, Borden Inc. was sold to Kohlberg Kravis Roberts & Co. (“KKR”) for $2 billion, and became a private company. Over the next decade, Borden Inc. underwent a series of reorganizations, which ultimately resulted in KKR selling off many of the divisions and brands of Borden Inc. to various buyers.

In 2009, Grupo Lala of Mexico purchased the dairy business, National Dairy LLC, and later established its U.S. operations under the name Borden Dairy Company.

Borden Dairy subsequently was spun off in 2013 into the privately held Grupo Lala-owned Laguna Dairy, S.A. de C.V. On January 5, 2020, Borden Dairy Company and sixteen affiliated companies filed Chapter 11 bankruptcy in the United States District Court for the District of Delaware.
Borden Dairy Corporation

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