Milk company Dairibord Holdings Limited (DHL) is pulling out of Malawi, citing losses.

According to the Diariboard Chief Executive Officer, the board opted to close down after seeking potential investors to turn around the business was unsuccessful.

Dairiboard was formed in January 1998 as a result of a joint venture between Dairibord Holdings in Zimbabwe and the Malawi Government.

In Zimbabwe, listed milk processor Dairibord Zimbabwe Holdings Limited (Dairibord) reported a $3.1 million operating loss in the half-year to June 2013, weighed down by plant rationalisation and retrenchment costs. In early 2013, the company had to shut down its Bulawayo and Mutare plants to remain with two in Harare and Chitungwiza.