Elsie the Cow Cost New Borden Owners an Additional $685,000

July 23, 2020
Capitol Peak and KKR had to pay Grupo Lala to keep the Borden bovine.

The new owners of Borden Dairy agreed to pay $685,000 to Mexico’s Grupo Lala for the rights to continue using Elsie the Cow on products, according to several media reports.

A bankruptcy court in Delaware on July 16 approved the agreement between Capitol Peak Partners and KKR & Co. on the one hand and Grupo Lala, which owned most of Borden before its descent into bankruptcy.

Even though Elsie has been Borden’s mascot since 1936, the previous incarnation of the American company licensed the image from an affiliate of Grupo Lala. While there was disagreement among the parties on whether the mascot was included in the sale, the $685,000 fee apparently seemed the most expedient way to keep the milk flowing, rather than fighting it out in court.

It also clears another hurdle to the conclusion of the $340 million sale to Capitol Peak, an investment firm founded by the former head of similarly bankrupt Dean Foods, and KKR, which owned Borden in the 1990s.

Sponsored Recommendations

F&B Manufacturer Implements Powerful Cybersecurity

A leading F&B manufacturer has moved to harness the skills of Rockwell Automation and Claroty to harden their OT and IT defences.

6 Ways to Augment Your Food and Beverage Workforce

Modern digital tools and technologies help attract, retain and empower a modern workforce.

2024 Manufacturing Trends - Unpacking AI, Workforce, and Cybersecurity

The world of manufacturing is changing, and Generative AI is one of the many change agents. The 2024 State of Smart Manufacturing Report takes a deep dive into how Generative ...

Better OT Asset Management Increases Uptime

A food and beverage company streamlines and simplifies its OT cybersecurity to increase system reliability and uptime.