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Danone sells organic dairy in the US
Food giant Danone is selling a majority stake in its organic dairy activities in the United States to a private investor. It concerns Platinum Equity.
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Danone still holds a minority stake in Horizon Organic and Wallaby dairy. The sale results from the portfolio realignment announced in March 2022. This operation is gradually taking shape. Last year was the same a dairy factory in Spain sold to the Dutch A-ware.
Danone does not wish to disclose financial details of the sale of its stake to Platinum Equity. CEO Antoine de Saint-Affrique only wants to say that the consequences of the sale will be reflected in the books for 2024. The two business units account for approximately 3% of Danone's turnover. They are being divested because their performance hinders the development of Danone as a whole, Danone indicates.
Horizon Organic is the largest organic dairy brand in the US. Horizon only came into the hands of Danone in 2017. It came with the $10 billion purchase of the WhiteWave Foods Company. Horizon has more than 600 suppliers and is mainly active on the American west coast, where Platinum Equity is also based. This investor seems to be aiming for Horizon Organic to continue independently again. Wallaby is smaller and best known for the Greek yogurt it makes.