Dean Foods Co. has reached an agreement with Saputo Inc. on the sale of Dean’s Morningstar Foods division. The sale is for $1.45 billion on a debt-free basis.

Morningstar Foods is a manufacturer of dairy and non-dairy extended shelf-life (ESL) and cultured products, including creams and creamers, ice cream mixes, whipping cream, aerosol whipped toppings, iced coffee, half and half, value-added milks, sour cream and cottage cheese. These products are manufactured under a wide array of private labels and owned brands, and are sold nationwide through an internal sales force and independent brokers. Morningstar serves the needs of retailers, national quick-serve restaurant chains, grocery stores, mass merchandisers and distributors across the United States.

Morningstar has approximately 2,000 employees and operates 10 manufacturing facilities located in nine states. With the acquisition, Saputo will have approximately 12,000 employees and 57 manufacturing facilities in five countries.

Source: Dairy Foods