Report: Danone Set to Exit Lifeway Foods
The French food giant is selling its stake in the U.S. kefir market leader less than a year after it attempted to acquire the company.
The French food giant is selling its stake in the U.S. kefir market leader less than a year after it attempted to acquire the company.
Lifeway Foods entered 2026 with significant momentum, delivering the strongest quarter in company history amid surging consumer demand for protein-rich probiotic foods and heightened awareness of the gut’s role in overall health.
Lifeway continues to enjoy revenue growth from increased volume, recording double-digit jumps in sales and net income after a year in which the company batted down a mooted acquisition by stakeholder Danone.
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On the back of rising consumer demand for probiotic foods and expanded distribution partnerships with mainstream retailers, Lifeway Foods is projecting record growth for fiscal 2025.
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After halting acquisition talks last month, kefir maker Lifeway Foods and Danone North America are back in good standing after entering a cooperation agreement, which will include an “orderly refreshment” of Lifeway’s board of directors.
For Danone’s long-running courtship of kefir category leader Lifeway, the third time isn’t the charm. The French dairy giant has withdrawn its interest in purchasing the kefir category leader.
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Lifeway Foods cited strong volume growth of its drinkable kefir and farmer cheese as the primary driver of record sales in the second quarter of 2025.
The clock is ticking on a potential acquisition by Danone of kefir category leader Lifeway, as the French dairy giant is pressuring company leadership to again discuss a deal that has already been attempted twice in the past year.
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