NEWARK, N.J. – French yogurt maker Danone will sell its Stonyfield Farms business to gain approval from U.S. regulators for a $12.5 billion buyout of Denver's WhiteWave Foods.
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The Justice Department made the deal, first announced last summer, contingent on the sale, citing the potential for reduced competition in the organic milk market if Stonyfield were owned by Danone S.A.
Danone says it will sell Stonyfield in the months after the WhiteWave buyout closes.
Danone is one of the world's leading food companies, producing several dairy brands, baby foods and Evian water. WhiteWave, which went public in 2012, makes Horizon brand organic dairy products, coffee creamers and plant-based dairy alternatives such as Silk brand soy and almond milk.