DALLAS — At the same time Dean Foods is undertaking a massive manufacturing footprint consolidation project, management is looking for new areas of growth. As the former owner of the Silk brand of plant-based milk, prior to the spin-off of WhiteWave Foods, Dean Foods is looking to replicate the success of Silk.
To date, the company’s investments in the plant-based category have been small. This past February, Dean Foods acquired a majority stake in Good Karma Foods, a maker of dairy alternatives derived from flaxseed.
“We want to be back in the plant-based business,” said Ralph P. Scozzafava, chief executive officer, Aug. 7 during a conference call to discuss the company’s second-quarter results. “We think Good Karma is a platform for us. And I will remind everyone that was here, remember how small Silk was when this company brought it in-house many years ago. Just keep in mind that with the playbook for Good Karma, we’ll look a lot like that, and that’s our commitment.”
Product applications available from Good Karma are fluid based. The company offers a flax milk that may be consumed individually or used in smoothies or on cereals. The business also offers drinkable yogurts.
During the conference call, Mr. Scozzafava described Good Karma and Uncle Matt’s, an organic juice business the company acquired in 2017, as “little gems” that may become “larger gems.”
“We’ve lived it here before,” he said. “We’ve lived it looking at Silk. We’ve lived it here looking at International Delight, and we intend to live it here again with those businesses.”