advanced talks to invest in yogurt maker Chobani: NYT
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[March 28, 2014]
Private equity firm TPG Capital LP is in advanced talks
to invest in Chobani LLC, a maker of Greek yogurt, the New York
Times reported on its website on Thursday, citing two unidentified
people briefed on the matter.
TPG is now "apparently" the lead bidder, the newspaper said, adding
that the structure of the potential investment has yet to be
finalized and that the talks might not lead to a deal.
Spokespeople for Chobani and TPG declined to comment.
Chobani has been looking to sell a minority stake in a deal that
could value the company at around $2.5 billion, Reuters reported
first earlier this month, citing people familiar with the matter.
The New York Times then reported, citing its own sources, that
Chobani was considering selling a stake of 15 percent or less at a
valuation of $5 billion.
Founded in 2005 by Turkish immigrant Hamdi Ulukaya, Chobani started
operating from a former Kraft Food yogurt plant in South Edmeston,
New York, and grew into one of the top-selling Greek yogurt brands
in the United States.
The company suffered a blow in September after it was forced to
recall moldy cups of Greek yogurt following complaints by customers
that the product tasted runny and fizzy, and some reported
In December, Whole Foods Market Inc <WFM.O> said it would no longer
sell Chobani yogurt starting early this year.
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Greek-style yogurt, which is thicker, creamier and often higher in
protein than other types of yogurt, now makes up more than 40
percent of the U.S. yogurt market, which is worth $7.4 billion
according to research firm Mintel
(Reporting by Greg Roumeliotis in New York;
editing by Andre Grenon)
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