Lion Pty Limited Chairman Rod Eddington said Lion is prepared to walk away from the sales process for its Lion-Dairy & Drinks Pty Ltd portfolio and retain the business as bidding stalls following the withdrawal of prospective buyers Coca-Cola Amatil Limited (ASX:CCL) and Freedom Foods Group Limited (ASX:FNP). Coca-Cola Amatil had teamed up with the Perich family-backed Freedom Foods to bid for the Lion assets, with the Lion eyeing the flavoured milk, juice and cheese businesses and Freedom the white milk and yoghurt businesses. The partners withdrew from the process on March 15, 2019, reportedly because of competition concerns.

The only party believed to remain interested is China Mengniu Dairy Company Limited (SEHK:2319), which is working with Macquarie Group Limited (ASX:MQG) and Minter Ellison. Saputo Inc. (TSX:SAP) is believed to be an eager suitor for the speciality cheeses operation, while Parmalat S.p.A., controlled by Groupe Lactalis S.A., is thought to be another suitor. Freedom Foods is also thought to be searching for a partner to potentially bid for entire stake of Lion after Coca-Cola Amatil's withdrawal.

Rod said, Lion's owner, Kirin Holdings Company, Limited (TSE:2503), was prepared to be patient with the process. Rod declined to comment on the buyers involved in the auction. "We think it's well-placed, but we accept the industry is in the process of consolidating," Rod told the