Kirin unit interested in Dairy Farmers bid-source

MELBOURNE, March 4 (Reuters) - Australian dairy and juice producer National Foods, owned by Japanese brewer Kirin Holdings (2503.T: Quote, Profile, Research, Stock Buzz), is interested in bidding for milk and cheese producer Dairy Farmers, a source familiar with the situation said on Tuesday.

Dairy Farmers, which is owned by some 2,000 Australian farmers, put itself up for sale earlier this month and said it has had substantial interest in a deal that could be worth up to A$800 million-A$1.0 billion ($750-$940 million).

National Foods, which was bought by Kirin last November for A$2.8 billion, is one of Australia's largest food groups with brands including Pura milk, Big M flavoured milk and Yoplait yoghurt.

"Whether National Foods could pull enough synergies out to justify a premium price would be an issue," the source told Reuters.

Other potential bidders include unlisted New Zealand dairy giant Fonterra, Italy's Parmalat (PLT.MI: Quote, Profile, Research, Stock Buzz), Australian food group Goodman Fielder (GFF.AX: Quote, Profile, Research, Stock Buzz) and Singapore's Olam International (OLAM.SI: Quote, Profile, Research, Stock Buzz), according to analysts. ($1=A$1.07) (Reporting by Victoria Thieberger;)