UAE – Lifeway Foods Inc. has expanded its distribution agreement in the United Arab Emirates (UAE), furthering its global reach.
In Q4 2024, the company will begin exporting its 32-oz. Lifeway Kefir, 8-oz. Lactose-Free Kefir, ProBugs, and Farmer Cheese to Dubai and other Emirates.
These products, which offer probiotic and bioactive nutrients, will be available in supermarkets and hypermarkets across the region.
“We are excited further to expand Lifeway’s presence in the United Arab Emirates,” said Julie Smolyansky, Lifeway’s President and CEO.
Smolyansky emphasized the company’s capacity to scale internationally, adding that Lifeway’s products, including ProBugs for kids and Farmer Cheese, would complement its existing kefir lineup.
This move comes shortly after Lifeway rejected a US$25-per-share takeover bid from Danone North America PBC, which holds a 23.4% stake in the company.
The proposal valued Lifeway at US$283 million, a 59% premium over its three-month average price.
However, after consulting financial and legal advisors, Lifeway’s board deemed the offer undervaluing the company and adopted a limited-duration shareholder rights plan, or “poison pill,” to prevent an unapproved acquisition.
The rights plan will distribute one preferred share purchase right per common stock to shareholders of record on November 18, 2024, giving the board time to evaluate strategic alternatives that align with Lifeway’s long-term goals.
Despite the takeover battle, Lifeway remains focused on expanding kefir consumption in the U.S. and exploring adjacent product categories.
The company has reported strong growth, with 2023 sales rising 13% year-over-year to $160 million. In Q2 2024, net sales jumped 25.3%, driven by increased demand for its drinkable kefir products.
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