Are Ben & Jerry about to sell out?
Ben & Jerry's Homemade Inc., the ice cream company known for its quirky flavors and social activism, said Thursday it has received "indications of interest to acquire the company," at a price substantially above its Wednesday close of $21 a share. Shares of Ben & Jerry's, which have been stock market laggards despite the company's improving profit, soared almost 18% on the news, closing at $24.69, up $3.69 on Nasdaq.
While the Vermont-based company wouldn't name its suitors, Wall Street analysts say the likeliest bidders are three of the company's main competitors in the U.S.--Dreyer's Grand Ice Cream; Good Humor-Breyers, a division of Unilever; and Ice Cream Partners USA, a new partnership of Haagen-Dazs (owned by Britain's Diageo) and Nestle.
Ben & Jerry's rejected an offer from Dreyer's last year. And though it has distribution agreements with both Dreyers and Haagen-Dazs, relations between the three companies have been frosty.