White Wave Acquired by Dean Foods

DALLAS and BOULDER, Colo.--White Wave, makers of Silk® Soy products, has been acquired by Dean Foods, according to White Wave founder and president Steve Demos, and Gregg Engles, chairman and chief executive officer of Dean Foods. The acquisition will make Dean Foods the country's largest soymilk manufacturer.

Dean Foods previously owned 36 percent equity interest of White Wave, and now will acquire the remaining 64 percent equity interest for $189 million. That figure brings Dean Foods' total investment to $204 million.

"We believe that this transaction is an important step in our growth strategy and will create long-term value for our shareholders," Engles said.

The agreement also resolves the outstanding litigation between the two companies regarding the acquisition.

In a letter posted on the White Wave Web site (www.whitewave.com), Demos said, "Together, our two companies will bring the sophistication, insight, resources and creativity necessary to further our business model, which is rooted in sustainable agriculture and offers healthier lifestyle choices to a broader group of Americans."

White Wave and its existing management team will continue to be based in Boulder, Demos said. "White Wave's culture, products and personnel will remain unchanged," he added. "We will continue to produce the highest-quality soyfoods."

Dean Foods expects no effect on earnings in the first full year after closing. A replay of the company's quarterly earnings conference call, which discussed first-quarter results and the White Wave acquisition, are available at the Dean Foods' Web site, (www.deanfoods.com)

"With its proven record of success in the soymilk category, we believe White Wave is well positioned to take advantage of the explosive growth potential that this category holds," Engles said.