November 24, 2024
Business

HP Hood abandons plans to merge

BURLINGTON, Vt. – HP Hood Inc. has abandoned plans to merge with the nation’s second-largest dairy company, officials said.

Instead, Hood of Chelsea, Mass., will enter into a scaled-down deal with Dallas-based National Dairy Holdings and the Dairy Farmers of America. DFA is a national farm cooperative and half-owner of NDH.

The original proposal would have given DFA a hand in 90 percent of the milk that flows to processors in New England.

That level of market control drew the interest of federal and state antitrust investigators.

Under the new proposal Hood would own 30 percent of NDH; DFA would own 15 percent of Hood.

Portions of the original proposal remain intact, including top executives who will share the leadership of Hood and NDH.


Have feedback? Want to know more? Send us ideas for follow-up stories.

comments for this post are closed

You may also like