Lifeway Foods acquires Fresh Made Dairy
February 09, 2009
by Keith Nunes
MORTON GROVE, ILL. — Lifeway Foods, Inc., the No. 1 brand in the kefir market, has acquired Fresh Made Dairy, the No. 2 brand. The total purchase price of the transaction is $14,050,000 for all of the stock of Fresh Made Dairy.
In 2008, Lifeway Foods’ sales reached $44.5 million. Fresh Made Dairy had sales of approximately $10 million.
"The major catalyst behind this acquisition is the growing demand for probiotic and functional dairy products," said Julie Smolyansky, chief executive officer of Lifeway Foods. "For over 20 years, both companies have spent a large amount of time, energy and money fiercely competing against one another in the same market space. Today, with the completion of the acquisition, we couldn’t be more excited about being able to shift our focus, and combine our resources to growing and expanding the whole probiotics category."
The Fresh Made brand of kefir will continue to be manufactured by the company as a subsidiary of Lifeway Foods. Fresh Made’s 25,000-square-foot facility in Philadelphia will remain in operation.
Edward Smolyansky, chief financial officer of Lifeway Foods, will assume the role of president and c.e.o. of Fresh Made Dairy.