Danone acquires majority stake in Kate Farms strengthening its plant-based offerings

USA – Danone, a French multinational dairy company, has acquired a majority stake in Kate Farms, a USA company specialising in plant-based ingredients, to enrich and diversify its nutrition portfolio.

Through their shared commitment to providing nutritional solutions that positively impact health, Danone and Kate Farms are joining forces to help improve the standard of care available to Americans.

This will enable Kate Farms’ nutritional products to reach a greater number of patients and consumers, providing quality nutrition to those with highly specific health needs.

Following the completion of the transaction, Kate Farms CEO Brett Matthews will become President and CEO of Danone’s North American Medical Nutrition business.

The Kate Farms management team will retain a minority stake in these businesses. The completion of the transaction remains subject to customary conditions, including regulatory approval.

Shane Grant, Deputy CEO of Groupe Danone and Head of the Americas, said,  “We are very pleased to partner with Kate Farms and look forward to welcoming Brett Matthews and his team to Danone. This partnership aligns perfectly with our patient-centric approach to specialised nutrition and represents another pivotal milestone in Danone’s 125-year history in Specialised Nutrition.”

He added that Kate Farms’ innovative offerings enhance the range of nutritional solutions available, reinforcing efforts to assist patients and consumers in achieving better health both in the USA and globally.  This collaboration strengthens the ability to provide more tailored support for diverse nutritional needs.

Brett Matthews, President and CEO of Kate Farms, emphasised the company’s dedication to improving lives through high-quality nutrition and expressed confidence in Danone as a strategic partner.

He highlighted the shared commitment of both organisations to supporting individuals with specific health needs and the healthcare professionals assisting them across the U.S. and beyond.

Matthews underscored that this partnership would broaden access to scientifically developed nutritional solutions while leveraging Danone’s expertise for international expansion.

He noted that the collaboration is built on shared values and a unified growth philosophy, aiming to make nutrition a fundamental pillar of health.

The new acquisition comes as Danone announced a strong performance for the first quarter of 2025, with sales reaching US$7.79 billion, marking a 4.3% increase on a like-for-like basis.

The growth was fueled by rising global demand for its diverse portfolio, including dairy, plant-based products, and specialised nutrition, particularly in regions like China, North Asia, and Oceania.

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