Muller yogurt products
Products were marketed under the Muller brand and included Greek, mix-in and indulgent varieties of yogurt.

PURCHASE, N.Y. – PepsiCo, Inc. and the Theo Muller Group have ended their yogurt joint venture and agreed to sell the Batavia, N.Y., yogurt manufacturing plant to Dairy Farmers of America, Kansas City.

“After determining that the business was not meeting expectations in a competitive and dynamic marketplace, it was mutually agreed by PepsiCo and the Theo Muller Group to be in our best interests to exit the joint venture,” PepsiCo said in a statement.

The two companies entered into the joint venture in 2012 and began producing product in 2013. The j.v. invested approximately $206 million in the Batavia plant, which has the capacity to produce 120,000 cups per hour.

Products were marketed under the Muller brand and included Greek, mix-in and indulgent varieties of yogurt.

“We are immensely appreciative of the support we’ve received over the years from the community, our customers and the consumers who purchased our products,” PepsiCo said. “We are also pleased to know that D.F.A., the nation’s leading milk marketing cooperative, with nearly 1,400 member farms in New York alone, intends to continue to invest in the community and further expand their production and agricultural presence in the state.”

The sale of the Batavia plant to D.F.A. was agreed upon Dec. 10. Terms were not disclosed.

"The acquisition is a strategic one for D.F.A. as it is in an important milkshed for us," said D.F.A. in a statement. "This facility creates multiple potential milk handling and dairy manufacturing opportunities. We are currently exploring these."