Idris Elba backed Danone has agreed to acquire UK-based nutrition brand Huel in a deal valued at approximately €1 billion, marking a significant expansion into the fast-growing functional nutrition market.
The acquisition is expected to deliver a major payout for Huel’s investors, including co-founder Julian Hearn, who could earn about £400 million from the transaction.
Actor Idris Elba, an early backer of the company, is also likely to benefit, although the size of his stake has not been disclosed.
The deal shows Danone’s strategy to deepen its presence in health-focused food segments, particularly as consumer demand rises for convenient, plant-based, and nutritionally fortified products.
Idris Elba, his wife, Sabrina Dhowre Elba, and British TV presenter Jonathan Ross invested in Huel in December 2022 as part of a $24 million (£20 million) Series B funding round. The actor, who has used Huel products for several years, joined the company to support its mission of providing sustainable, convenient, and complete nutrition
What they are saying
In the company’s press statement on its website, Danone explained that the acquisition of Huel is part of its strategy to strengthen its position in the fast-growing functional and complete nutrition market.
- The CEO of Huel, James McMaster, commented on the deal, saying: “We are thrilled to be joining Danone, marking a new chapter for Huel. Most people don’t get enough protein, fibre, or the right nutrients, and that’s the problem we aim to solve.
- Partnering with Danone gives us the infrastructure, distribution, and R&D support to reach new markets and more customers as demand for convenient, complete nutrition continues to grow. We’re proud of what we’ve built and excited about what comes next.”
- The CEO of Danone, Antoine de Saint-Affrique, added: “We are excited to welcome Huel and its team to the Danone family. Their achievements in the fast-growing Complete Nutrition space complement our mission to deliver health through food…….. We look forward to learning from each other and unlocking new growth opportunities for both businesses.”
What you should know
Huel, founded in 2015 by Hearn and James Collier, produces meal replacement powders, ready-to-drink shakes, and snack bars.
- The company started as a direct-to-consumer brand but has since expanded globally, with products now stocked in more than 25,000 retail outlets.
- Chief Executive James McMaster said the acquisition represents the “next step” in Huel’s growth, noting that Danone’s scale, distribution network, and research capabilities would enable the company to enter new markets and reach a wider consumer base.
- The transaction comes amid strong financial performance. Huel reported £13.8 million in pre-tax profit on revenues of £214 million in 2024, with revenues exceeding £250 million the following year and profit margins of around 10%.
- The brand has gained popularity among time-constrained consumers seeking convenient nutrition, as well as health-conscious users, including those on weight-loss treatments such as GLP-1 drugs.
The acquisition highlights broader consolidation trends in the global food and beverage sector, as established multinationals seek to acquire fast-growing, niche brands aligned with evolving consumer preferences.
