Australian dairy and juice maker Lion Dairy and Drinks is up for sale by its Japanese owners following a month-long review.

Lion Group, owned by Japanese beer giant Kirin Holdings, launched a strategic review into its dairy and juice arm last month to look at the value of investing or carving off the business.

In a statement on Tuesday, Lion chief executive Stuart Irvine said the sale was the best option to set both Lion and LDD up with the capital and resources needed for future growth.

‘It’s clear from the further work done in recent weeks that LDD’s strategy to more fully leverage growing consumer wellness trends will require new capabilities and capital investment,’ Mr Irvine said.

LDD owns, among others, the Pura, Masters and Dairy Farmers milk brands, Berri Juices, Yoplait and Farmers Own yoghurts and King Island Dairy cheeses.

Deutsche Bank, King & Wood Mallesons and Greenhill & Co Australia have been appointed to advise the sale.

The capital raised will fund growth in Lion’s other businesses including its alcohol and coffee brands, Mr Irvine said, with the company looking to explore the global ‘high growth’ craft beer market.

Lion’s alcohol businesses in Australia and New Zealand will not be affected by the sale of LDD, he said.

Last year, Kirin sold its money-losing Brazilian beer business – bought for $US3.9 billion in 2011 – to Heineken for $US1.09 billion.