Arcor and Danone Formalize Dairy Joint Venture, Taking Full Control of La Serenísima

Arcor and Danone have officially launched their dairy joint venture, La Serenísima Unida, after months of negotiations and administrative processes. The integration marks a significant step in consolidating control over Mastellone Hermanos, a historic player in Argentina's dairy sector.

The new entity will operate under a reorganized corporate structure, involving a split-merger process where Arcor and Bagley Argentina (a joint venture between Arcor and Danone) will transfer their shares in Mastellone Hermanos. This new structure will be governed by an eight-member board with equal representation from Arcor and Danone.

The move aims to unify operations that have historically been separate. Mastellone Hnos. has focused on milk, cheese, and butter production, while Danone Argentina managed yogurt, desserts, and refrigerated products, often under the La Serenísima brand. The "unification" seeks to achieve greater efficiency and control across the entire value chain.

This formalization concludes a process that began in April 2025 when Bagley's partners exercised their option to purchase the 51% of shares still held by the Mastellone family and the Dallpoint fund. A significant hurdle was the valuation of the company, with a considerable gap between the sellers' expectations and the buyers' initial offer. Despite potential legal disputes, an agreement was reached in late March.

The expansion of Danone and Arcor into La Serenísima occurs amid a challenging dairy market characterized by falling consumption, cost pressures, and increased competition. Gaining full control of Mastellone is seen as a strategic move to reposition the company in this demanding market. Arcor Group President Alfredo Pagani stated that the alliance will "leverage the commercial capacity, operations, processes, and best practices of both companies and accelerate growth, thanks to a unified strategy for the development of differential products."