Danone becomes majority shareholder of Centrale Laitière in Morocco

entrale Laitière, of which Danone has been a 29.2% shareholder since 2001, is Morocco's leading dairy product company with nearly 60% of the market. It has sales of around €600 million in a fast-growing market and operates the country's largest distribution platform with 30 storage hubs serving 70,000 points of sales. The Danone brand is already very well known in Morocco through products including Yawmy, Moufid and Activia, all sold by Centrale Laitière.

The current transaction represents a key step in Danone's development in Morocco. It will allow the Group to invest more in a market with major potential, and thus support growth of the local dairy industry. The move also confirms the strategic appeal of markets in North Africa for Danone.

This acquisition is subject to the approval of relevant authorities and is expected to be finalized by the end of 2012.

With a majority interest, Danone will fully integrate Centrale Laitière into its consolidated accounts, and the transaction will be accretive for Danone net earnings per share from the first year.

Centrale Laitière is one of the most dynamic food companies in Morocco, with a clear corporate mission: bring high quality food to the largest possible number of people.

Its products are sold throughout Morocco and it operates four production sites with around 4,000 employees. In 2011, Centrale Laitière reported sales of 6.6 billion dirhams, over half in the dairy segment. The company is market leader in three core businesses: milk, fresh dairy products and cheese. It has been listed on the Casablanca stock exchange since 1974 and is actively engaged in CSR in several areas.

Centrale Laitière plays a strategic role in the nation's social and economic development, providing steady incomes to hundreds of thousands of Moroccans working on farms, in dairy cooperatives and in food processing industries.