Morgan Stanley Investment Management Announces Huel to be Acquired by Danone
Morgan Stanley Investment Management (MS) announced that Huel, one of the first investments made by the 1GT climate private equity strategy, has entered into a definitive agreement to be acquired by Danone (DANOY). Huel's range of plant-based drinks and meals has made it a global leader in sustainable nutrition in a variety of accessible options. Since 1GT's investment in 2023, Huel has delivered substantial organic growth, including significant progress in its U.S. expansion and continued innovation across its product suite. Vikram Raju, MSIM's Head of Climate Private Equity Investing and 1GT platform, commented: "1GT is proud to have played a role in Julian Hearn's compelling vision to revolutionize meals and address the carbon signature of the food ecosystem. We are also grateful for the partnership with CEO James McMaster, his team and Highland Capital as the company made tangible progress in tracking and quantifying its sustainability impact while broadening its appeal to a global customer base. This announcement represents a compelling example of 1GT's focus on backing businesses where strong commercial performance and positive carbon impact go hand in hand. We look forward to seeing Huel's continued success as part of the distinctive Danone platform." In line with its Renew Danone strategy, the acquisition will enhance Danone's presence in functional nutrition and extend its portfolio into the fast-growing Complete Nutrition space. Huel's complementary range, spanning various food forms including ready-to-drink and powders, is supported by best-in-class digital execution, strong digital direct-to-consumer sales, and a fan-base in the UK, Europe and the United States. The transaction remains subject to customary closing conditions, including regulatory approvals.
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