Danone To Buy Celebrity-Backed UK Protein Drinks Maker Huel

Huel sells a variety of ready-to-eat drinks that are fortified with essential nutrients including protein, fat and carbohydrates. The deal is worth a reported $1.1 billion

(Bloomberg) — Danone SA agreed to buy Huel, a U.K. maker of fortified protein powders and drinks backed by celebrities, as the French food company pushes into the growing health nutrition market.

Danone didn’t provide financial terms in a statement Monday. The Financial Times reported a price of about €1 billion ($1.1 billion), citing a person close to the deal. A representative for the company had no immediate comment.

Shares of Danone slipped as much as 1.1% in Paris, amid a wider drop in global stocks. They are down almost 12% this year.

Danone has been one of the few food companies to benefit from the popularity of weight-loss drugs and a craze for protein, with its high-protein yogurts a standout seller. Huel sells a variety of ready-to-eat drinks that are fortified with essential nutrients including protein, fat and carbohydrates. 

Huel’s investors include Steven Bartlett, the entrepreneur and host of “The Diary of a CEO” podcast. A 2022 funding round — which included actor Idris Elba and Grace Beverley, the founder of athletic leisurewear company Tala — valued Huel at $560 million in 2022, according to investment firm Highland Europe.

The company reported revenue of £214 million ($285 million) in its 2024 annual report, the latest financial statement on the Companies House website.

Huel’s other products include ready-made “hot and savoury” meals and vegan nutritional bars. It’s mainly known for a direct-to-consumer business model, though its products are also sold in supermarkets.

Danone’s drinkable nutritional products include Activia yogurt, high-protein YoPRO and Actimel immune support shots. It acquired US medical nutrition company Kate Farms last year, which management has said is growing well.