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Danone offers to buy kefir maker Lifeway Foods for $283M

September 23, 2024 from Food Dive:

"The proposal to buy the company for $25 a share comes as Lifeway’s leadership remains embroiled in a bitter family dispute and the manufacturer faces shareholder calls to sell itself.

• "Dairy giant Danone offered to buy the remaining stock it doesn’t already own in kefir products maker Lifeway Foods for about $283 million, or $25 a share, according to a regulatory filing. Danone, a long-time shareholder in Lifeway, currently owns 23.4% of its common shares.
• "Danone said in a letter sent to Lifeway on Monday that the offer “represents a compelling proposition to [its] shareholders and reflects the fundamental potential of the Company.” The $25-a-share offer is a 59% premium to $15.74, Lifeway’s average price during the last three months. Lifeway’s stock closed Monday at $21.50 a share, giving it a market cap of $318 million.
• "The acquisition proposal comes as Lifeway has been embroiled in a bitter family dispute between the CEO and her relatives. A large shareholder has urged Lifeway to sell itself and accused the board and its CEO of 'mis-managing the business.'

"Danone has been a shareholder in Lifeway for more than two decades and has had a front-row seat to the inner workings of the company — both good and bad.

"Lifeway acknowledged receiving Danone’s offer on Tuesday and said it would “carefully review and evaluate the proposal to determine the course of action.'"