Elders Limited has entered into an agreement with meat processing company, Australian Meat Group (AMG), to divest its Killara Feedlot business, for total consideration of approximately $195.8 million.
Killara operates as an integrated grain-fed and grass-fed beef production facility in the Liverpool Plains region of New South Wales. It has a combined annual throughput of approximately 62,000 head of cattle and sits on 1402 hectares of freehold land.
The feedlot was initially established in 1971 as a joint venture between Japan's Mitsubishi Corporation and local farmers, the McInnes Brothers. Mitsubishi sold the feedlot in 1998 to a new joint venture that included Elders, Taiwan Sugar, and Taiwan Pineapple, and Elders increased its stake and gained full ownership in 2011.
Elders managing director and CEO, Mark Allison, said Killara has long been a successful and valuable part of the company’s portfolio.
“We feel for Killara to continue to grow and develop as a blue chip operation, it is appropriate for it to move to a more natural owner, and we have found this in AMG,” said Allison.
“The sale at this time supports our value creation strategy for Elders’ shareholders. We thank Killara management and its employees for their contribution to Elders.”
Elders is being advised by Kidder Williams Limited as exclusive financial advisor, and Laity Morrow as legal advisor in relation to the sale.
AMG is a fully integrated meat processing company, with brands including Josdale, Southern Ranges, Southern Grain, and Southern Plains. It is the second largest global meat exporter in Australia, and ranked at #40 of Australia’s Top 100 Food & Drink Companies 2025.
The company has two beef processing facilities, in Dandenong, Victoria and Cootamundra, New South Wales. In July 2024, AMG was the first Australian red meat processor to gain access to the China market since 2017. At the same time, the business was put up for sale, with speculation its value was around $500-800m. It is yet to sell.
AMG managing director, Gilbert Cabral, said Killara represents a compelling strategic fit for the company, and continues its successful track record of growth through acquisitions.
“We have a long-standing relationship with Killara and are impressed by the quality of the business and its people. Killara will enhance our ability to service our customers with the highest quality Australian beef,” said Cabral.
“Elders has been an extraordinary custodian of Killara and AMG looks forward to supporting its continued success.”
AMG was advised by Tenet Advisory & Investments, who stated this is a major milestone for the company’s continued growth.
“We’re proud to have acted as their financial advisor on this important acquisition, which marks an exciting new chapter for Killara and reinforces AMG’s position as an industry leader,” stated Tenet on LinkedIn.
The sale is expected to complete prior to 30 June, subject to approval from both the Foreign Investment Review Board and Australian Competition and Consumer Commission.
