Danone Proposes $283 Million Acquisition to Buy Remaining Stake in Lifeway Foods
Danone has made an offer to acquire the remaining shares of kefir products maker Lifeway Foods, which it does not already own, for approximately $283 million, or $25 per share. The offer, which represents a 59% premium to Lifeway's recent average share price, reflects Danone's long-term interest in the company, where it already holds a 23.4% stake.
Lifeway, known for its kefir and probiotic products, has posted impressive growth, with record sales of $160 million in 2023.
The acquisition offer comes at a time when Lifeway is facing internal challenges, including a family dispute and calls from shareholders for a sale. Danone, which has been a shareholder for over two decades, sees potential in integrating Lifeway into its portfolio of health-focused dairy brands, including Activia. Lifeway has acknowledged receiving the proposal and is reviewing it to determine its next steps.
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