March 30, 2009
Dairy Crest sells stake in joint venture
UK's milk producer Dairy Crest has sold its 49-percent stake in Yoplait Dairy Crest to its French venture partner Yoplait.
The GBP63.5 million (US$90.6 million) sales ended the venture that begun in 1991.
The sales will reduce Dairy Crest's net debt to GBP435 million (US$620.2 million), and according to chief executive Mark Allen, give the company a one-off profit of GBP50 million (US$71.3 million) and additional room on its banking covenants.
As part of the deal, Dairy Crest agreed to continue distributing Yoplait brands including Petits Filous and Frubes, in the UK until March 2010.
