General Mills' $2.1 Billion Sale of North America Yogurt Business to French Dairy Companies
Strategic Move in the Dairy Sector
General Mills has entered an agreement to sell its North American yogurt business, which is valued at $2.1 billion, to prominent French dairy companies Lactalis and Sodiaal.
Details of the Sale
The news, initially reported by Bloomberg, indicates that the transaction is expected to yield approximately a 3% dilution to adjusted per-share earnings in the first year following the deal's conclusion.
Impact on Shareholders
- General Mills will allocate proceeds from the sale for share buybacks.
- This step aims to bolster shareholder value amid changing market conditions.
With this move, General Mills continues to strategically position itself in the dairy industry, reflecting ongoing changes in consumer preferences and market dynamics.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.