There's big news in dairy land.

French yogurt and dairy giant Danone agreed to sell Stonyfield to rival Lactalis for $875 million.

Stonyfield is an organic yogurt producer based in New Hampshire. It was founded in 1983 and has gained an impressive following: Stonyfield sold nearly $400 million last year.

The Stonyfield deal will help tie a bow on Danone's acquisition of organic food company WhiteWave Foods earlier this year. As part of that $10 billion deal, Danone agreed to divest Stonyfield in order to gain approval from the U.S. Department of Justice.

Related: What the Amazon-Whole Foods deal means for you

Danone bought WhiteWave to expand its U.S. portfolio and its presence in the organic foods market. Danone and WhiteWave collectively own a host of brands, including Dannon, Oikos, Activia, Silk, Evian and Horizon Organic.

The Lactalis Group is a French dairy company that sells Galbani, Sorrento, and President cheeses.