Danone is trying to cope with the pandemic’s effects

Danone is looking to sell its assets to meet the midterm goal

The aviation and cruise industries are not the only ones affected by the pandemic. Even one of the largest foods and drink groups globally – Danone, is having pandemic-induced issues.

Danone’s representatives announced that they would sell various assets and reorganize its management to cope with the pandemic’s effects. Despite the coping, Danone is looking to reconnect with its midterm goals and reach a sales growth of 3%-5%.

To achieve its goal, Danone will review Vega – a plant-based protein powders brand, after in October it announced that it is looking to sell its stakes in Yakult.

The move comes after its Q3 sales dropped 2.5%. The market was looking for a 2.2% decrease. For the full year, Danone is expecting to reach $2.1 billion of free cash flow.

After the news hit the wire, Danone’s stock price went up more than 2%. Year-to-date, the company’s shares are down 25%.

Sources: marketwatch.com, finance.yahoo.com