French food group Danone has agreed to sell its U.S dairy business Stonyfield to Lactalis for $875 million, a move designed to address competition concerns stemming from its acquisition of U.S. organic food group WhiteWave.

Danone said on Monday that Stonyfield had around $370 million in turnover in 2016, and that the sale price represented a multiple of around 20 times the 2016 earnings before interest, tax, depreciation and amortization (EBITDA) for Stonyfield.

Danone shares were up 1 percent in mid-session trading, in line with a similar rise on the CAC-40 index of French blue chips stocks.

“The sale price appears reasonable and we expect proceeds would reduce leverage largely offsetting dilution from the disposal,” Liberum analysts wrote in a research note.