General Mills sells to Nestlé

USA – General Mills has sold its 50% stake in Ice Cream Partners to Nestle for $641 million (709m euro).

Ice Cream Partners was formed in 1999 by Pillsbury and Nestle to market and distribute ice cream products in the USA. Pillsbury contributed its Haagen-Dazs business to the joint venture. However, when General Mills took over Pillsbury in October last year it triggered a change of control provision in the joint venture agreement, giving Nestle the option to purchase the other 50%.

General Mills will retain ownership of the Haagan-Dazs business internationally although Nestle will have a license for the brand in the USA. Nestle will also buy out a licensing arrangement with Pillsbury, under which it manufactures and distributes Haagen-Dazs products in Canada.