Danone focuses on growth priorities with sale of organic-dairy businesses
- Danone sells Horizon Organic and Wallaby organic-dairy businesses in the U.S. to Platinum Equity
- Sale agreement is part of Danone’s portfolio review
- Brands represented about 3% of Danone’s global revenue
- Sale will allow Danone to focus on its current portfolio of strong, health-focused brands
- Platinum Equity brings carve-out experience and operational expertise to the brands
Danone has announced the sale of its Horizon Organic and Wallaby organic-dairy businesses in the U.S. to investment firm Platinum Equity. The sale agreement is part of Danone’s portfolio review and will allow the company to concentrate on its current portfolio of strong, health-focused brands. The brands represented about 3% of Danone’s global revenue and had a dilutive impact on its like-for-like sales growth and recurring operating margin. Platinum Equity, known for its carve-out experience and operational expertise, will take over the brands. Danone will retain a minority stake in the businesses. The sale is subject to customary conditions.
Public Companies: Danone (Unknown)
Private Companies: undefined
Key People: Antoine de Saint-Affrique (Danone Chief Executive)
Factuality Level: 8
Justification: The article provides factual information about Danone’s decision to sell its Horizon Organic and Wallaby organic-dairy businesses in the U.S. to Platinum Equity. It includes statements from Danone’s CEO and Platinum Equity regarding the sale. The article does not contain any obvious bias or opinion masquerading as fact. However, it lacks some details such as the financial terms of the sale and the specific reasons behind Danone’s decision to divest these brands.
Noise Level: 7
Justification: The article provides basic information about Danone selling its Horizon Organic and Wallaby organic-dairy businesses to Platinum Equity. However, it lacks in-depth analysis, evidence, or insights into the long-term trends or consequences of the sale. The article also does not explore the potential impact on stakeholders or hold powerful people accountable. Overall, it contains mostly factual information without providing much value or actionable insights.
Financial Relevance: Yes
Financial Markets Impacted: The sale of Danone’s Horizon Organic and Wallaby organic-dairy businesses may impact the financial performance of Danone and Platinum Equity.
Presence of Extreme Event: No
Nature of Extreme Event: No
Impact Rating of the Extreme Event: No
Justification: The article does not mention any extreme events or their impact.
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