Danone, Yakut Announce ‘New Phase’ In Strategic Collaboration
Dairy brand Danone has announced a ‘new phase’ in its strategic collaboration with probiotic beverage firm Yakult, seeing the two brands intensify their joint efforts to promote probiotics through the jointly created Global Probiotics Council.
The two firms also intend to expand their efforts through the Ishoku Dogen programme, a scheme that aims to deepen the understanding of the link between diet and health.
In addition, Danone will engage in the distribution of Yakult’s products in European markets, where the brand currently only has a minor presence, with Spain singled out as a test market.
In a statement, Danone said that it has signed a memorandum of understanding with Yakult Honsha Co. Ltd to confirm its commitment to a "long-term strategic relationship and shared vision to promote probiotics as part of a balanced diet".
Danone has also announced its intention to sell part of its 21.29% stake in Yakult.
The intended divestiture will be carried out through a market transaction launched by Yakult and is expected to settle in March. Danone targets a shareholding of approximately 7% of Yakult’s total outstanding shares following the completion of the transaction, subject to market conditions.
It will remain Yakult’s largest shareholder and will continue to sit on the company’s board of directors.
Yakult has also announced a JPY 36 billion share buy-back programme in which Danone will participate.
© 2018 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: The European Supermarket Magazine.