Ben & Jerry’s May Go Private; Split-Up Denied

Ice cream maker Ben & Jerry’s Homemade Inc., whose clever flavor names and socially responsible business style launched a cult following, could be going private--perhaps without Jerry.

The maker of the Cherry Garcia and Chunky Monkey flavors confirmed Wednesday that it has held talks that could result in the firm going private in a deal involving Anglo-Dutch food and consumer products firm Unilever.

The company, which went public in 1984, said that such a proposal was presented last Thursday to its board of directors in a meeting that included Unilever, maker of Breyer’s ice cream; Meadowbrook Lane Capital; and company co-founder and Vice Chairman Ben Cohen.

Conspicuously absent was co-founder and Chairman Jerry Greenfield, igniting speculation of a rift between the namesake founders, whose hippie personas are synonymous with their rich product.

Ben & Jerry’s denied there was a split.

Spokeswoman Chrystie Heimert said she spoke with Greenfield on Wednesday. “He emphatically stated there is absolutely no truth to a rumor of a rift between Jerry and Ben,” she said.

Neither Cohen nor Greenfield was available for comment.

News of a possible deal was sweet for Ben & Jerry’s shares, which surged $4.41 to $34.38 on Wednesday. The stock had long been moribund before the company revealed late last year that it had received indications of interest from potential buyers.

Ben & Jerry’s relies on competitors to distribute its product, which has curbed its growth. And its socially responsible business style doesn’t come cheaply. The firm gives 7.5% of pretax profit to charity and buys only hormone-free dairy products from Vermont farmers.

Ben & Jerry’s said in a statement that issues remain to be resolved before a deal could be presented to the board for definitive approval: “Accordingly, there can be no assurance that these issues will be resolved, or that such a transaction will, in fact, be approved by the board.”

Wednesday’s New York Times said the Ben & Jerry’s board had approved a $38-per-share, or $260-million, deal to go private last Thursday, giving both Ben Cohen and Meadowbrook Lane control of 36% of the firm, with the remaining 28% held by Unilever.