Stonyfield Farm: A History of Organic Growth and Ownership
Stonyfield Farm has established itself as a prominent name in the organic dairy industry, blending a commitment to environmental sustainability with strategic global expansion. From its roots in the United States to its ventures in Europe and Canada, the company's journey reflects the evolving landscape of the organic food market.
The company is led by Gary Hirshberg, who serves as chairman and is the former president and CEO. Under his leadership, Stonyfield integrated social responsibility into its business model through the Profits for the Planet program, which allocates 10% of the company's profits to environmental causes.
Key Facts
- Current Owner: Lactalis (acquired in 2017).
- Former Owner: Groupe Danone (owned fully by 2014).
- Acquisition Price: $875 million.
- Sourcing: Milk is sourced from New England and Midwest dairy farmers via the CROPP (Organic Valley) cooperative.
- Philanthropy: 10% of profits are donated to environmental causes.
Corporate Evolution and Ownership
The ownership of Stonyfield Farm has seen significant shifts over the last two decades, primarily involving major French dairy corporations. In 2001, Groupe Danone—the French food company known for Evian water and Dannon yogurt—began its investment by purchasing an initial 40% of Stonyfield's shares. Through subsequent purchases, Danone achieved full ownership of the company by 2014.
However, this arrangement changed in 2017. To avoid antitrust claims and facilitate the acquisition of WhiteWave Foods, a larger U.S. organic food producer, Groupe Danone announced its intention to sell Stonyfield. In July 2017, it was revealed that Danone had agreed to sell the subsidiary to Lactalis, another French dairy giant, for $875 million. The sale was completed shortly thereafter.
Market Expansion and Brand Acquisitions
Stonyfield Farm expanded its portfolio and geographic reach through several strategic moves. In 2003, the company acquired Brown Cow, broadening its product offerings. The mid-2000s marked a period of aggressive international growth:
- France: Entered the market in 2006 with the brand Les 2 Vaches (The Two Cows).
- Canada: Expanded operations with yogurt production based in Quebec.
- Ireland: Successfully launched the organic yogurt brand Glenisk.
- United Kingdom: Launched "Stony, Yogurt on a Mission" in June 2007, though this specific line was later discontinued.
Summary of Stonyfield Farm Milestones
| Year | Event | Details |
|---|---|---|
| 2001 | Initial Danone Investment | Groupe Danone purchased 40% of shares. |
| 2003 | Brand Acquisition | Acquired Brown Cow. |
| 2006 | International Expansion | Entered France (Les 2 Vaches) and Canada. |
| 2007 | UK Launch | Launched Stony, Yogurt on a Mission (later discontinued). |
| 2014 | Full Danone Ownership | Groupe Danone became the sole owner. |
| 2017 | Sale to Lactalis | Sold for $875 million to clear the way for WhiteWave Foods acquisition. |
Frequently Asked Questions
Who currently owns Stonyfield Farm?
Stonyfield Farm is entirely owned by the French dairy company Lactalis, which purchased the company from Groupe Danone in 2017.
How much was Stonyfield Farm sold for in 2017?
The company was sold to Lactalis for a total of $875 million.
Where does Stonyfield Farm source its milk?
The company sources its milk from dairy farmers in the Midwest and New England through the CROPP (Organic Valley) cooperative.
What is the Profits for the Planet program?
It is a corporate initiative where Stonyfield Farm donates 10% of its profits to various environmental causes.
Which brands are associated with Stonyfield Farm?
In addition to its primary brand, Stonyfield acquired Brown Cow and launched international brands such as Les 2 Vaches in France and Glenisk in Ireland.