Knudsen sold dairy plants in Texas and Louisiana.

The Los Angeles dairy products company moved closer to completing its self-liquidation by selling its extensive milk-processing operations in those two states to an investment group formed by the Chicago venture capital firm Golder, Thoma & Cressey and First Chicago Investment Corp. The price was $27 million in cash. Knudsen was the largest dairy in the West until it filed for protection from its creditors under Chapter 11 of the U.S. Bankruptcy Code on Sept. 17.