An under-threat Aeron valley factory that employs around 100 people has been purchased by a Scandinavian company.

Arla Foods Ingredients (AFI) which already runs the Volac site in Felinfach, has announced the acquisition of neighbouring Sensient Flavors.

The Danish company said in an announcement: “Part of its future plans for investment projects, the development of the site will ensure stronger operations and the capacity for future growth in the area.

“The investment also ensures business continuity for AFI, creating full control of critical infrastructure and utilities.”

Anne-Sophie Hoff, site director at AFI Felinfach, said: “Expanding our footprint alongside our existing facility will allow us to expand our processing capability and build a more robust operation for the future.

“This new milestone reflects the hard work of our team and the strong partnerships we’ve built locally, and we’re excited about the positive impact this expansion will have. We know how important sites like this are in the local community and this investment underscores our commitment to the area. We look forward to sharing more details of our plans in the near future.”

Arla added: “The announcement follows AFI’s hugely successful growth in 2025 which was a key part of Arla’s record-breaking year in 2025.

“The ingredients business delivered a revenue increase of 43.1%, driven by a strong global demand for value-added protein and the successful integration of the Whey Nutrition business from Volac.”

Ceredigion MS Elin Jones welcomed the news, saying: “Just had it confirmed that Arla Foods has acquired the Sensient facility in Felinfach.

“It already owns the Volac Whey Nutrition plant next door.

“It plans to expand its processing capability in the future.

“It had been proposed for closure over a year ago by its American owners. “Arla is an international farmer-owned cooperative.”