The Future of Mastellone: A Strategic Alliance with Arcor and Danone
Source: dairynews.today
Mastellone, the owner of La Serenísima, faces economic challenges but anticipates improvements through increased exports and political changes.
Mastellone, a prominent player in the Argentinian dairy market, has seen its fortunes change since the beginning of 2025, marked by low profitability but with a hopeful outlook due to rising exports and a favorable political scenario. Recently, Arcor, one of Argentina's largest food companies, made a surprising bid to gain control of Mastellone.
Partnering with the French multinational Danone, Arcor aims to secure a dominant stake in Mastellone, a strategy they initiated back in 2015 when they acquired 25% of the company's shares for $25 million through Bagley Latin America, a joint venture where both corporations hold equal stakes. In the following years, this partnership increased their interest in Arcor to 49%. The newly announced operation seeks to acquire the remaining shares from Dallpoint Investment and the heirs of Pascual Mastellone. Initially, Mastellone's major shareholders refused to sell their shares, aiming for a better price negotiation.
However, with negotiations intensifying, both buyers and sellers are exploring options to finalize the deal within the 30-day deadline set by the initial contract, expiring on May 28. Mastellone, known for its expansive product portfolio—including brands like La Serenísima, La Armonía, and Ser—is currently under review by Arcor and Danone. The review follows a reported 6% increase in domestic sales volume within the first quarter of 2025, over the same period in 2024, illustrating the company's product strength amidst a competitive market. The company's board has noted positive trends despite export decreases attributed to lower stock availability and diminished profitability due to currency exchange issues.
Danone, already active in numerous Mastellone brands and holding a long-standing partnership since 1996, seems poised to leverage this synergy. The alliance between Danone, Arcor, and Mastellone, dubbed "La Serenísima Unida," aims for an equal 50% ownership, concentrating all operations under a unified structure with Danone leading efforts amidst local economic pressures. As part of its expansion strategy, Mastellone has approved financial measures to support its international sales efforts, focusing on powdered milk exports in markets like Brazil, Paraguay, and beyond. This is seen as a pivotal move to navigate the challenges of the domestic recession by bolstering profitability through external trade.
Partnering with the French multinational Danone, Arcor aims to secure a dominant stake in Mastellone, a strategy they initiated back in 2015 when they acquired 25% of the company's shares for $25 million through Bagley Latin America, a joint venture where both corporations hold equal stakes. In the following years, this partnership increased their interest in Arcor to 49%. The newly announced operation seeks to acquire the remaining shares from Dallpoint Investment and the heirs of Pascual Mastellone. Initially, Mastellone's major shareholders refused to sell their shares, aiming for a better price negotiation.
However, with negotiations intensifying, both buyers and sellers are exploring options to finalize the deal within the 30-day deadline set by the initial contract, expiring on May 28. Mastellone, known for its expansive product portfolio—including brands like La Serenísima, La Armonía, and Ser—is currently under review by Arcor and Danone. The review follows a reported 6% increase in domestic sales volume within the first quarter of 2025, over the same period in 2024, illustrating the company's product strength amidst a competitive market. The company's board has noted positive trends despite export decreases attributed to lower stock availability and diminished profitability due to currency exchange issues.
Danone, already active in numerous Mastellone brands and holding a long-standing partnership since 1996, seems poised to leverage this synergy. The alliance between Danone, Arcor, and Mastellone, dubbed "La Serenísima Unida," aims for an equal 50% ownership, concentrating all operations under a unified structure with Danone leading efforts amidst local economic pressures. As part of its expansion strategy, Mastellone has approved financial measures to support its international sales efforts, focusing on powdered milk exports in markets like Brazil, Paraguay, and beyond. This is seen as a pivotal move to navigate the challenges of the domestic recession by bolstering profitability through external trade.
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