Danone to sell Stonyfield

Stonyfield generated approximately $370 million in sales in 2016.

PARIS — Danone S.A. has announced it will sell its Stonyfield business in the months following the closing of its acquisition of The WhiteWave Foods Co. The move is part of an agreement in principle with the Antitrust Division of the United States Department of Justice (D.O.J.) to facilitate prompt closing of the WhiteWave acquisition, the company said.

“This move is expected to permit closing to occur shortly and will allow the company to proceed at the soonest with the integration and reap the full benefits of the announced synergies,” Danone said. “While Stonyfield has been a valued part of Danone’s portfolio and remains a highly attractive asset, its divestiture does not impact the strategic rationale or financial benefits of the WhiteWave acquisition.”

Stonyfield generated approximately $370 million in sales in 2016. The organic dairy brand manufactures such products as organic yogurt, milk, cream, smoothies and frozen yogurt.

Emmanuel Faber, c.e.o. of Danone

“As part of the agreement in principle with the D.O.J., we made the strategic decision to divest Stonyfield as it allows us to take a major step toward completing the WhiteWave transaction expeditiously,” said Emmanuel Faber, chief executive officer of Danone. “This is a good outcome as it addresses the D.O.J.’s concerns and enables Danone to shortly begin to capture the benefits of the combination and the value creation announced last July. We are proud of all that we have accomplished together. We are committed to finding the right partner to support Stonyfield’s growth journey in the future. In doing so, we will attract more competition and capital into the U.S. organic segment, creating an opportunity for it to grow even faster.”