Danone has signed an agreement to sell plant-based nutritional products brand Vega to funds managed by private equity investment firm, WM Partners.
Available across the US and Canada, Vega’s offerings include options for sport and daily nutrition. The brand’s portfolio features products such as supplements, and protein bars, powders and snacks. According to Danone, the sale is part of the strategic review of its portfolio of brands, SKUs and assets.
Danone announced the review process in its third-quarter 2020 results, saying that the company would start with an immediate examination of its options for Vega, its Argentina business and ‘possibly further assets’. The sale is also said to be part of the dairy giant’s ‘continuous capital allocation optimisation’.
Jose Minski, co-founder of WM Partners, said: “We are excited to work with Vega, the pioneers and leaders of the plant-based nutrition industry and look forward to implementing our operational playbook to create additional value.”
Patrick Brown, president of Vega, added: “We are looking forward to partnering with the WM Partners team to build on Vega’s existing strengths. Their extensive experience in the health and wellness sector and significant operational capabilities will help accelerate our long-term strategic plans and solidify the Vega brand as a key player in plant-based nutrition.”
The closing of the transaction is subject to customary conditions. The financial terms of the deal have not been disclosed.