CHICAGO, Nov. 7, 2024 /PRNewswire/ -- On September 23, 2024, Danone SA (OTCQX: DANOY) proposed to acquire Lifeway Foods (NASDAQ: LWAY) in a transaction valued at approximately $283 million, offering $25 per share in cash. However, on November 6, the Lifeway Foods Board of Directors rejected the offer, instead adopting a "poison pill" limited shareholder rights plan.
Edward and Ludmila Smolyansky, significant shareholders and members of Lifeway Foods' founding family, released the following statement in response:
"For nearly four decades, we have fostered Lifeway's growth with careful attention to what is best for the company's future. Today, we strongly support Danone's offer, which represents a substantial premium over Lifeway's recent share price and reflects their confidence in the growing U.S. kefir market - a category we helped build from the ground up.
"As we approach one of most significant and closely watched earnings releases in Lifeway's history, we remain optimistic about the company's potential and believe that Danone's proposal presents a unique opportunity to enhance value for all shareholders.
"We encourage the Lifeway board to carefully and in good faith reconsider Danone's offer and seize this opportunity to deliver lasting value to shareholders, employees, and consumers. CEO Julie Smolyansky and the board need to focus on the tangible, lucrative offer in front of them, not on futile distractions that waste valuable time and resources. The longer they wait, the more money they will leave on the table, to the detriment of all."
SOURCE Edward and Ludmila Smolyansky
