US: Danone To Sell Stonyfield Unit For WhiteWave Deal Approval

Danone has agreed to sell its Stonyfield dairy subsidiary, as it looks to gain regulatory approval for its $12.5bn acquisition of WhiteWave Foods.

The French group said it had reached an agreement with the US Department of Justice for the deal, which will see it sell off Stonyfield soon after the WhiteWave deal is completed, which is now expected “to occur shortly”.

Danone said the sale of Stonyfield, which generated around $370m in revenues in 2016, will not materially impact the expected gains from the WhiteWave acquisition. It added: “This is a good outcome as it addresses the DOJ’s concerns and enables Danone to shortly begin to capture the benefits of the combination, and the value creation announced last July.”