Thornloe Cheese, which was announced to close in October 2023, could be given new life.
Owner Gay Lee Foods announced the plant will be acquired by Mississauga, Ontario-based cheese manufacturer Triple “A” Cheese Co.
The co-op has signed a letter of intent with Triple A Cheese and said the deal is tentative and would give a potential buyer the opportunity to secure financing to build a new cheese-making plant near its current location.
Under the terms of the proposed sale, Triple “A” Cheese would acquire all of the assets of Thornloe Cheese, including its plants, brands, cheese recipes and plant supply allocations. Thornloe Cheese was a major user of Ontario’s grass-fed dairy supply.
This is a private sale and financial terms will not be disclosed, but the two organizations have agreed to a sale price and deferred payment terms that are significantly more favorable to the buyer, Gay Lee said.
Gary Lee announced in October The company announced that the facility is no longer a viable cheese manufacturing plant and will be winding down operations. The new buyers plan to build a new, larger facility and create a “new vision” for the existing facility.
That vision includes:
- A larger cheese-making facility would be built on more suitable local land, with greater milk receiving capacity, and a municipal water and wastewater treatment plant would be provided.
- Planning for tourist and local destinations with fresh food stores, coffee shops, deli restaurants, party rooms, patios and outdoor spaces
- The existing Thornroe Cheese store will be reused as a cold storage warehouse.
Triple A Cheese says the plans will eventually employ more than 100 people – double the number of employees at Thornloe Cheese previously – and provide a permanent facility to process milk from local dairy farmers.
“All of us at Triple A Cheese are excited by the prospect of transforming this beloved local brand into a destination that serves the community and draws tourists to Northern Ontario,” said Stefano Camaiani, president and CEO of Triple A Cheese. “But we must caution that this is an ambitious project and there will be no shortcuts. New facilities are needed, and significant funding is required. There is still a lot of work to be done.”
If the financing is successful, the companies expect the sale to close in 2025, with the new plant opening in 2027 or 2028. Triple A Cheese will also explore the possibility of restarting cheesemaking at its current Thornloe plant on an interim basis, using equipment repurposed from the existing operation, the company said.
Gay Lee Foods will continue to skim grass-fed milk at Thornlaw Cheese Factory until October 2024, as it has done since Thornlaw Cheese Factory stopped making cheese in October 2023. In October Gay Lee Foods will stop receiving grass-fed milk at Thornlaw Cheese Factory but will continue to pay the grass-fed premium to farmers until 31 March 2025.
