Kefir maker Lifeway Foods jumps on Danone's buyout offer for remaining share
24/09/2024 16:31
** Shares of Kefir producer Lifeway Foods LWAY.O jump
21.7% to $26.16
** Dairy giant Danone SA's DANO.PA North America unit on
Monday proposed to buy the remaining shares it did not already
own in LWAY for $25/shr in cash
** Danone is currently one of LWAY's top shareholders, with
23.36% stake, according to LSEG data
** Offer price represents a 16.3% premium to LWAY stock's
closing price on Monday
** "Believe LWAY has an attractive opportunity to achieve
its full potential through a combination with Danone, removing
the constraints and additional resources required for a publicly
listed company of Lifeway's size," Shane Grant, CEO of Danone
North America, says in a letter
** Major LWAY shareholders Edward and Ludmila Smolyansky,
CEO Julie Smolyansky's brother and mother, filed a consent
statement with the U.S. regulator last month to change
leadership at the company
** Including session's gains, stock is up 93% YTD
(Reporting by Savyata Mishra in Bengaluru)
((Savyata.Mishra@thomsonreuters.com))