WhiteWave Foods Company shares edged up on Friday after the European Commission said it has cleared France-based Danone’s acquisition of the company after it took steps to ally concern over the impact on competition in “growing up milk” markets in Europe.
Danone offered to divest a large part of its “growing-up milk” business in Belgium. The divestment entirely removes the overlap between the companies in Belgium on the overall “growing-up milk” market, comprising both dairy and plant-based products, as well as on the sub-market only for plant-based products.
The Commission concluded that the transaction, as modified by the commitments, would no longer raise competition concerns. The Commission’s approval is conditional upon full compliance with the commitments. Danone offered to pay $56.25 a share in an all-cash transaction in July.