A container of Dean Meals Co. Dairy Pure model bitter cream is displayed for {a photograph} in Dobbs Ferry, New York, U.S., on Wednesday, Feb. 20,
A container of Dean Meals Co. Dairy Pure model bitter cream is displayed for {a photograph} in Dobbs Ferry, New York, U.S., on Wednesday, Feb. 20, 2019.
Tiffany Hagler Geard | Bloomberg | Getty Pictures
Dairy Farmers of America introduced Monday that it has agreed to purchase Dean Meals, America’s largest milk producer, for $425 million.
The dairy co-operative can even assume Dean’s liabilities as a part of the deal to amass 44 of the corporate’s services, in addition to different property.
Dean filed for Chapter 11 bankruptcy in November because the enterprise struggled to draw shoppers who’ve as an alternative turned to nondairy milk or private-label merchandise. On the time it filed for chapter, Dean had reported a web loss in seven of its final eight quarters.
“Now we have had a relationship with DFA over the previous 20 years, and we’re assured of their potential to reach the present market and serve our prospects with the identical dedication to high quality and repair they’ve come to count on,” Dean Meals CEO Eric Beringause mentioned in an announcement.
If authorised by the chapter court docket, the settlement would make the Dairy Farmers of America the stalking horse bidder, which means that the transaction could be topic to receiving greater or higher affords whereas the corporate is in chapter. The corporate can also be speaking with different patrons excited by crops and property not included within the deal…