Los Angeles, CA—Platinum Equity announced the acquisition of Horizon Organic and Wallaby brands from Danone. As the largest USDA-certified organic dairy brand, Horizon Organic has been a leader in their category. In 1991, the brand's milk became the first organic variety available from coast to coast in the United States. The line of products also includes creamers, yogurt, cheese, butter, and more.
”Horizon Organic is an iconic name in dairy that is well recognized and beloved by consumers," said Louis Samson, Co-President of Platinum Equity, in a press release. "The brand has earned a reputation for quality and innovation that is unmatched in the industry. We appreciate Danone's confidence in our ability to build on that legacy and support Horizon Organic's growth as a standalone company.”
Platinum Equity also will acquire Wallaby Brand, an Australian-inspired Greek-style yogurt brand made with premium and organic ingredients.
A Profitable Category
The U.S. dairy category is estimated to be a $68-billion industry. Milk alone makes up $17 billion of that total. And premium products are driving demand. "Premium offerings, including organic and value-added products, are driving the growth in the dairy milk category," said Platinum Equity Managing Director Adam Cooper. "Horizon Organic is a pioneer of that segment and is in position to continue capitalizing on and accelerating the trend.”
Cooper added, "We are excited about Horizon Organic's potential as an independent business with a renewed sense of focus and a commitment to investing in its success. We have a lot of experience supporting food and beverage businesses. We look forward to partnering with Horizon Organic's management team to ensure a seamless transition and chart a path for continued growth and expansion.”
Other members of Platinum Equity’s current portfolio include Biscuit International, a European manufacturer of private-label sweet biscuits, Fantini Group Vine, a wine producer, and seafood provider Ilberconsa. They are equity investors in JM Swank, a food ingredients distributor acquired from ConAgra, and Harvest Meat Company, a U.S. distributor of packaged meat and bakery products.
The announcement is pending and may be subject to customary closing conditions and regulatory approval.
