Dean Foods, the US dairy giant which is being sold off following its bankruptcy, has announced the bulk of its Meadow Gold Hawaii business is to be sold to local investment company MGD Acquisition as a going concern.
Financial details have not been disclosed.
Last week, Dean Foods revealed it was to close its Honolulu operation in Hawaii after a previously-announced deal to sell the Meadow Gold Hawaii business to Industrial Realty Group was terminated.
Dean Foods said it had reached an agreement in principle with an unnamed party to sell its Hilo facility and related assets on the Big Island, Kauai and Maui as an ongoing business, alongside related distribution branches and the Meadow Gold Hawaii brand name and related intellectual property.
It has now revealed Michigan-based MGD Acquisition is the buyer.
The agreement is subject to final approval by the Bankruptcy Court.
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Eric Beringause, president and CEO of Dean Foods, said: “We are pleased to have reached an agreement with MGD Acquisition that will allow our Meadow Gold Hawaii business to continue to operate and serve customers across Hawaii.”
At the beginning of this month, the US Bankruptcy Court for the Southern District of Texas approved the sale of a substantial portion of Dean Foods’ business operations, including the sale of the assets, rights, interests and properties relating to 44 of the company’s fluid and frozen facilities, to Dairy Farmers of America for US$433m.
The court also approved the sale of the assets, rights, interests and properties relating to eight additional facilities, two distribution branches and certain other assets to Prairie Farms Dairy for $75m in cash and the sale of Dean Foods’ facility in Miami, Florida to Mana Saves McArthur for $16.5m.
The court also gave the green light to Producers Dairy Foods’ purchase of Dean Foods’ Reno, Nevada facility for $3.7m and its purchase of the Berkeley Farms trademark and related intellectual property for $3 million, as well as Harmoni’s acquisition of the company’s Uncle Matt’s business for $7.25m.