# EDGAR Filing Document

**Accession Number:** 0001227848
**File Stem:** 0001683168-25-004208
**Filing Date:** 2025-6
**Character Count:** 23611
**Document Hash:** 1ae9d5c2acd652852ffa1123cd8d775c
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001683168-25-004208.hdr.sgml**: 20250604

**ACCESSION NUMBER**: 0001683168-25-004208

**CONFORMED SUBMISSION TYPE**: SCHEDULE 13D/A

**PUBLIC DOCUMENT COUNT**: 2

**FILED AS OF DATE**: 20250604

**DATE AS OF CHANGE**: 20250604

**SUBJECT COMPANY**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Lifeway Foods, Inc.
- **CENTRAL INDEX KEY:** 0000814586
- **STANDARD INDUSTRIAL CLASSIFICATION:** DAIRY PRODUCTS [2020]
- **ORGANIZATION NAME:** 04 Manufacturing
- **EIN:** 363442829
- **STATE OF INCORPORATION:** IL
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** SCHEDULE 13D/A
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 005-50073
- **FILM NUMBER:** 251022181

**BUSINESS ADDRESS:**
- **STREET 1:** 6431 W OAKTON
- **CITY:** MORTON GROVE
- **STATE:** IL
- **ZIP:** 60053
- **BUSINESS PHONE:** 847-967-1010

**MAIL ADDRESS:**
- **STREET 1:** 6431 W OAKTON
- **CITY:** MORTON GROVE
- **STATE:** IL
- **ZIP:** 60053

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** LIFEWAY FOODS INC
- **DATE OF NAME CHANGE:** 19920703
**FILED BY**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** SMOLYANSKY LUDMILA
- **CENTRAL INDEX KEY:** 0001227848

**ORGANIZATION NAME:**

**FILING VALUES:**
- **FORM TYPE:** SCHEDULE 13D/A

## Exhibit 99.1

**Exhibit 99.1**

**Edward Smolyansky Announces Campaign Updates, Files Revised Preliminary Consent Statement to Remove and Replace Lifeway Foods' Directors**

CHICAGO, June 2, 2025 /PRNewswire/ — Edward and Ludmila Smolyansky, beneficial owners of approximately 27% of Lifeway Foods (NASDAQ: LWAY), today issued a statement expressing serious concerns about the company's Q1 2025 performance and what they describe as the Board's ongoing pattern of poor governance and misaligned priorities.

Although Lifeway reported a 44% year-over-year increase in GAAP earnings per share, Mr. Smolyansky emphasized that this was entirely due to a one-time $3.4 million gain from an investment sale, not from any improvement in the company's underlying kefir business. He and Mrs. Smolyansky cited several troubling operational trends, including:

· Income from operations declined nearly 55% year-over-year.

· Operating margin fell to approximately 3.4%, down from 7.9% in Q1 2024.

· Net sales increased only 3.3% year-over-year and declined 1.8% sequentially from Q4 2024.

· Revenue from the 2021 acquisition of Glen Oaks, a Laguna Beach, California-based drinkable yogurt company lacking any tangible assets,
has declined approximately 50% to date. Notably, only two Directors – Edward and Ludmila Smolyansky – voted against this acquisition.

· Selling expenses rose sharply – up 27% year-over-year and 35% from Q4, without a corresponding increase in sales.

· Gross margin contracted by 180 basis points to 24.0%; SG&A expenses climbed to 20.2% of sales.

· Insider stock sales by Director Pol Sikar and CEO Julie Smolyansky following the May 15, 2025 earnings release raised additional concerns
about management's confidence in the company's outlook.

Ludmila and Edward Smolyansky also criticized the Board's governance and oversight, highlighted by its handling of the Danone offer, the subsequent attempt to nullify the Company's 1999 Stockholder Agreement with Danone, and the award of $8.5 million in cash and shares granted to CEO/Chair Julie Smolyansky by the Board shortly thereafter. The Smolyanskys also shared their views that:

· The combined CEO/Chair role, while occupied by Ms. Smolyansky, has been a significant governance failure
resulting in lack of independent oversight;

· The handling of Danone's offer and subsequent attempt to sever ties may have market implications
that the Board has failed to consider;

· The questionable compensation awards granted to CEO/Chair Julie Smolyansky at the end of 2024 were in
flagrant opposition to shareholder sentiment conveyed at last year's annual meeting; and

· Only a reconstituted Board with an independent committee tasked with assessing strategic alternatives
and potentially re-engaging with Danone, in the manner deserving of a 25-year investor and partner, can produce a more favorable outcome
for shareholders.

Edward Smolyansky stated, "After carefully considering our options, we have determined that this consent path offers the quickest and most efficient route to achieving our goals and objectives." He added, "I feel confident, based on outreach I have received from the investment community, that there is broad support for swift and decisive change."

Today's revised filing follows a preliminary consent statement submitted in August 2024. The Smolyanskys also filed a preliminary proxy statement on March 28, 2025, and an amended version on May 5, which included a full slate of independent director nominees. They are calling for immediate action to restore operational discipline, shareholder alignment, and long-term value creation.

Additional information about the 2025 Lifeway Foods Proxy Campaign, including nomination materials and Securities and Exchange Commission ("<u>SEC</u>") filings, is available at <u>FreeLifeway.com</u> and via Edward Smolyansky's LinkedIn profile.

**Important Information and Where to Find It**

This communication is not a request for a proxy to vote on, or shareholder consent with respect to, any matter. Any written solicitation of a proxy or shareholder consent by Mr. Smolyansky will be made through a definitive proxy statement or definitive consent statement. Promptly after Mr. Smolyansky files a definitive proxy statement or definitive consent statement with the SEC, he intends to mail the definitive proxy statement and accompanying proxy card (or a notice of internet availability of proxy materials), or the definitive consent statement and accompanying consent card to requisite shareholders. Lifeway shareholders are urged to read Mr. Smolyansky's proxy statement or consent statement, as the case may be, including any amendments or supplements thereto, and his other soliciting materials, if any, when they become available because they will contain important information. Shareholders may obtain, free of charge, copies of the proxy statement or consent statement, and other relevant documents, when filed with the SEC at www.sec.gov.

**Participants in the Solicitation**

Mr. Smolyansky has filed (i) a preliminary consent statement (the "<u>Preliminary Consent Statement</u>") with the SEC on June 2, 2025, relating to, among other matters, his intent to seek shareholder consents to elect each of Ludmila Smolyansky, Edward Smolyansky, Richard Beleutz, Cindy Curry, Michael Leydervuder, George Sent and Robert Whalen (each, a "<u>Nominee</u>") as directors of Lifeway, and (ii) a preliminary proxy statement (the "<u>Preliminary Proxy Statement</u>") with the SEC on April 16, 2025, relating to his intent to nominate each Nominee for election as directors of Lifeway at its 2025 annual meeting of shareholders. Each Nominee may be deemed to have an interest in any solicitation of written consents or proxies by Mr. Smolyansky.

The participants (the "<u>Participants</u>") in any solicitation of shareholder consents or proxies by Mr. Smolyansky may be deemed to be Mr. Smolyansky and each of the other Nominees. Lifeway shareholders can obtain information regarding the Participants and their direct and indirect interests, by security holdings or otherwise, in Appendix B to the Preliminary Consent Statement and in the Schedule 13D/A filed by Mrs. Smolyansky, Mr. Smolyansky and The Edward Smolyansky Trust 2/2/16 with the Securities and Exchange Commission on June 2, 2025, which information is incorporated herein by reference.

### UNITED STATES SECURITIES AND EXCHANGE COMMISSION
**Washington, D.C. 20549**

## SCHEDULE 13D

### Under the Securities Exchange Act of 1934

**(Amendment No. 23)**

**Lifeway Foods, Inc.**

*(Name of Issuer)*

**Common Stock**

*(Title of Class of Securities)*

**531914109**

*(CUSIP Number)*

**Edward Smolyansky**<br>1219 N Wells St<br>Chicago IL 60610<br>847-967-1010

*(Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications)*

**03/13/2025**

*(Date of Event Which Requires Filing of this Statement)*

| **CUSIP No.** | **531914109** |

---

| | | | |
|:--|:--|:--|:--|
| 1 | Name of reporting person<br>**Ludmila Smolyansky** | Name of reporting person<br>**Ludmila Smolyansky** | |
| 2 | Check the appropriate box if a member of a Group (See Instructions)<br>[x] (a)<br>[ ] (b) | Check the appropriate box if a member of a Group (See Instructions)<br>[x] (a)<br>[ ] (b) | |
| 3 | SEC use only | SEC use only | |
| 4 | Source of funds (See Instructions)<br>**OO** | Source of funds (See Instructions)<br>**OO** | |
| 5 | Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e)<br>[ ] | Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e)<br>[ ] | |
| 6 | Citizenship or place of organization<br>**X1** | Citizenship or place of organization<br>**X1** | |
| Number of Shares<br>Beneficially Owned by<br>Each Reporting Person With: | 7 | Sole Voting Power<br>**865166.00** |
| Number of Shares<br>Beneficially Owned by<br>Each Reporting Person With: | 8 | Shared Voting Power<br>**75000.00** |
| Number of Shares<br>Beneficially Owned by<br>Each Reporting Person With: | 9 | Sole Dispositive Power<br>**865166.00** |
| Number of Shares<br>Beneficially Owned by<br>Each Reporting Person With: | 10 | Shared Dispositive Power<br>**75000.00** |
| 11 | Aggregate amount beneficially owned by each reporting person<br>**940166.00** | Aggregate amount beneficially owned by each reporting person<br>**940166.00** | |
| 12 | Check if the aggregate amount in Row (11) excludes certain shares (See Instructions)<br>[ ] | Check if the aggregate amount in Row (11) excludes certain shares (See Instructions)<br>[ ] | |
| 13 | Percent of class represented by amount in Row (11)<br>**6.2%** | Percent of class represented by amount in Row (11)<br>**6.2%** | |
| 14 | Type of Reporting Person (See Instructions)<br>**IN** | Type of Reporting Person (See Instructions)<br>**IN** | |

---

**Comment for Reporting Person:** Note to Row (11): In accordance with Rule 13d-101 under the Act, the reporting person has calculated the percentage of outstanding shares beneficially owned by her based on 15,203,241 shares reported to be outstanding as of May 6, 2025 (the "Reported Outstanding Shares"), as contained in the issuer's Quarterly Report on Form 10-Q for the period ended March 31, 2025, as filed with the Securities and Exchange Commission on May 13, 2025.  The reporting person does not hereby concede that all such Reported Outstanding Shares are validly issued and outstanding, including, without limitation, any shares purported to have been issued to Julie Smolyansky or her spouse without the consent of Danone North America PBC.

| **CUSIP No.** | **531914109** |

---

| | | | |
|:--|:--|:--|:--|
| 1 | Name of reporting person<br>**Edward Smolyansky** | Name of reporting person<br>**Edward Smolyansky** | |
| 2 | Check the appropriate box if a member of a Group (See Instructions)<br>[x] (a)<br>[ ] (b) | Check the appropriate box if a member of a Group (See Instructions)<br>[x] (a)<br>[ ] (b) | |
| 3 | SEC use only | SEC use only | |
| 4 | Source of funds (See Instructions)<br>**OO** | Source of funds (See Instructions)<br>**OO** | |
| 5 | Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e)<br>[ ] | Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e)<br>[ ] | |
| 6 | Citizenship or place of organization<br>**X1** | Citizenship or place of organization<br>**X1** | |
| Number of Shares<br>Beneficially Owned by<br>Each Reporting Person With: | 7 | Sole Voting Power<br>**2584975.00** |
| Number of Shares<br>Beneficially Owned by<br>Each Reporting Person With: | 8 | Shared Voting Power<br>**575000.00** |
| Number of Shares<br>Beneficially Owned by<br>Each Reporting Person With: | 9 | Sole Dispositive Power<br>**2584975.00** |
| Number of Shares<br>Beneficially Owned by<br>Each Reporting Person With: | 10 | Shared Dispositive Power<br>**575000.00** |
| 11 | Aggregate amount beneficially owned by each reporting person<br>**3159975.00** | Aggregate amount beneficially owned by each reporting person<br>**3159975.00** | |
| 12 | Check if the aggregate amount in Row (11) excludes certain shares (See Instructions)<br>[ ] | Check if the aggregate amount in Row (11) excludes certain shares (See Instructions)<br>[ ] | |
| 13 | Percent of class represented by amount in Row (11)<br>**20.8%** | Percent of class represented by amount in Row (11)<br>**20.8%** | |
| 14 | Type of Reporting Person (See Instructions)<br>**IN** | Type of Reporting Person (See Instructions)<br>**IN** | |

---

**Comment for Reporting Person:** Note to Row (11): In accordance with Rule 13d-101 under the Act, the reporting person has calculated the percentage of outstanding shares beneficially owned by him based on the Reported Outstanding Shares.  The reporting person does not hereby concede that all such Reported Outstanding Shares are validly issued and outstanding, including, without limitation, any shares purported to have been issued to Julie Smolyansky or her spouse without the consent of Danone North America PBC.

| **CUSIP No.** | **531914109** |

---

| | | | |
|:--|:--|:--|:--|
| 1 | Name of reporting person<br>**The Edward Smolyansky Trust 2/2/16** | Name of reporting person<br>**The Edward Smolyansky Trust 2/2/16** | |
| 2 | Check the appropriate box if a member of a Group (See Instructions)<br>[x] (a)<br>[ ] (b) | Check the appropriate box if a member of a Group (See Instructions)<br>[x] (a)<br>[ ] (b) | |
| 3 | SEC use only | SEC use only | |
| 4 | Source of funds (See Instructions)<br>**OO** | Source of funds (See Instructions)<br>**OO** | |
| 5 | Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e)<br>[ ] | Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e)<br>[ ] | |
| 6 | Citizenship or place of organization<br>**X1** | Citizenship or place of organization<br>**X1** | |
| Number of Shares<br>Beneficially Owned by<br>Each Reporting Person With: | 7 | Sole Voting Power<br>**1233333.00** |
| Number of Shares<br>Beneficially Owned by<br>Each Reporting Person With: | 8 | Shared Voting Power<br>**0.00** |
| Number of Shares<br>Beneficially Owned by<br>Each Reporting Person With: | 9 | Sole Dispositive Power<br>**1233333.00** |
| Number of Shares<br>Beneficially Owned by<br>Each Reporting Person With: | 10 | Shared Dispositive Power<br>**0.00** |
| 11 | Aggregate amount beneficially owned by each reporting person<br>**1233333.00** | Aggregate amount beneficially owned by each reporting person<br>**1233333.00** | |
| 12 | Check if the aggregate amount in Row (11) excludes certain shares (See Instructions)<br>[ ] | Check if the aggregate amount in Row (11) excludes certain shares (See Instructions)<br>[ ] | |
| 13 | Percent of class represented by amount in Row (11)<br>**8.1%** | Percent of class represented by amount in Row (11)<br>**8.1%** | |
| 14 | Type of Reporting Person (See Instructions)<br>**OO** | Type of Reporting Person (See Instructions)<br>**OO** | |

---

**Comment for Reporting Person:** Note to Row (11): In accordance with Rule 13d-101 under the Act, the reporting person has calculated the percentage of outstanding shares beneficially owned by it based on the Reported Outstanding Shares.  The reporting person does not hereby concede that all such Reported Outstanding Shares are validly issued and outstanding, including, without limitation, any shares purported to have been issued to Julie Smolyansky or her spouse without the consent of Danone North America PBC.

**Item 1. Security and Issuer**

**(a) Title of Class of Securities:**
Common Stock

**(b) Name of Issuer:**
Lifeway Foods, Inc.

**(c) Address of Issuer's Principal Executive Offices:**
6431 W Oakton, Morton Grove, IL, 60053

This Amendment No. 23 (this "Amendment") further amends and supplements the Schedule 13D filed by Ludmila Smolyansky, Edward Smolyansky and The Edward Smolyansky Trust 2/2/16 (the "Edward Smolyansky Trust" and, together with Ludmila Smolyansky and Edward Smolyansky, the "Filing Persons"). This Amendment is being filed by the Filing Persons for the purpose of providing the additional information set forth below.

**Item 4. Purpose of Transaction**

Item 4 is hereby amended and supplemented by the addition of the following:

On June 2, 2025, Edward Smolyansky and Ludmila Smolyansky filed a revised preliminary consent statement with the Securities and Exchange Commission, relating to a potential consent solicitation with respect to the following proposals: (i) to repeal any amendment to the Second Amended and Restated By-Laws (the "Bylaws") of Lifeway Foods, Inc. (the "Company") that is made by the Company's board of directors (the "Board") and becomes effective on or after March 24, 2023 and prior to the effective this proposal becoming effective; (ii) to remove each director of the Company and any other director appointed by the Board on or after June 15, 2024 and prior to this proposal becoming effective, subject to the approval of the proposal described in clause (iii), below; (iii) to elect each of Ludmila Smolyansky, Edward Smolyansky, Richard Beleutz, Cindy Curry, Michael Leydervuder, George Sent and Robert Whalen (each a "Nominee"), to serve as directors of the Company until the Company's next annual meeting of shareholders and until their respective successors are duly elected and qualified (or, if any such Nominee is unable or unwilling to serve as a director of the Company, or if the Board changes the number of directorships to be a number other than seven, the persons designated as Nominees by the then-remaining Nominee(s)), subject to the approval of the proposal described in clause (ii), above; and (iv) to amend the Bylaws, as reflected in the consent statement, to prohibit the Company from employing or engaging any immediate family member of the Company's president or chief executive officer.

On June 2, 2025, Mr. Smolyansky also issued a press release, attached hereto as Exhibit 99.1, which is incorporated herein by reference.

**Item 5. Interest in Securities of the Issuer**

**(a)**
As of June 4, 2025, for purposes of Rule 13d-3 under the Exchange Act, (i) Ludmila Smolyansky may be deemed to be the beneficial owner of 940,166 shares of Common Stock, representing approximately 6.2% of the outstanding shares of Common Stock, (ii) Edward Smolyansky may be deemed to be the beneficial owner of 3,159,975 shares of Common Stock, representing approximately 20.8% of the outstanding shares of Common Stock, (iii) the Edward Smolyansky Trust may be deemed to be the beneficial owner of 1,233,333 shares of Common Stock, representing approximately 8.1% of the outstanding shares of Common Stock, and (iv) the Filing Persons together may be deemed to be the beneficial owners of an aggregate of 4,025,141 shares of Common Stock, representing approximately 26.5% of the outstanding shares of Common Stock.  In accordance with Rule 13d-101 under the Exchange Act, the foregoing percentage calculations were based on 15,203,241 shares reported to be outstanding as of May 6, 2025 (the "Reported Outstanding Shares"), as contained in the Company's Quarterly Report on Form 10-Q for the period ended March 31, 2025, as filed with the Securities and Exchange Commission on May 13, 2025.  The Filing Persons do not hereby concede that all such Reported Outstanding Shares are validly issued and outstanding, including, without limitation, any shares purported to have been issued to Julie Smolyansky or her spouse without the consent of Danone North America PBC.

**(b)**
Ludmila Smolyansky has sole power to vote or direct the vote of, and sole power to dispose or direct the disposition of, 865,166 shares of Common Stock, and shared power to vote or direct the vote of, and shared power to dispose or direct the disposition of, 75,000 shares of Common Stock held by the Ludmila and Edward Smolyansky Family Foundation, of which Ludmila Smolyansky is a director.  Edward Smolyansky has sole power to vote or direct the vote of, and sole power to dispose or direct the disposition of, 2,584,975 shares of Common Stock, which includes the 1,233,333 shares beneficially owned by the Edward Smolyansky Trust and 100,000 shares held by his son, and shared power to vote or direct the vote of, and shared power to dispose or direct the disposition of, 500,000 shares of Common Stock held by Smolyansky Family Holdings LLC, over which Edward Smolyansky and Julie Smolyansky share voting power and dispositive power, and 75,000 shares of Common Stock held by the Ludmila and Edward Smolyansky Family Foundation, of which Edward Smolyansky is a director.  Each of Ludmila Smolyansky and Edward Smolyansky disclaims beneficial ownership of the 75,000 shares held by the Ludmila and Edward Smolyansky Family Foundation.  Edward Smolyansky disclaims beneficial ownership of shares held by Smolyansky Family Holdings LLC, except to the extent of any pecuniary interest therein, and disclaims beneficial ownership of the shares held by his son.  The Edward Smolyansky Trust has sole power to vote or direct the vote of, and sole power to dispose or direct the disposition of, 1,233,333 shares of Common Stock.  The Filing Persons together have sole power to vote or direct the vote of, and sole power to dispose or direct the disposition of, 3,525,141 shares of Common Stock, and shared power to vote or direct the vote of, and shared power to dispose or direct the disposition of, 500,000 shares of Common Stock.

**(c)**
There have been no transactions in the shares of Common Stock by any of the Filing Persons during the past sixty days, other than the following sales of Common Stock by the Ludmila Smolyansky Trust 2/1/05, of which Ludmila Smolyansky is the trustee, in ordinary broker transactions:

Date: 4/10/2025   Number of Shares:  10,000   Price: $23.51
Date: 4/11/2025   Number of Shares:  15,000   Price: $23.38
Date: 4/14/2025   Number of Shares:   8,376    Price: $23.62
Date: 4/15/2025   Number of Shares:   8,676    Price: $23.88
Date: 4/17/2025   Number of Shares:  17,948   Price: $23.92
Date: 4/29/2025   Number of Shares:   9,561    Price: $23.73
Date: 4/30/2025   Number of Shares:  10,957   Price: $23.81
Date: 5/1/2025     Number of Shares:  30,000   Price: $23.87
Date: 5/5/2025     Number of Shares:   7,482    Price: $23.50

### SIGNATURE

After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct.

**Reporting Person:** Ludmila Smolyansky

**Signature:** /s/ Ludmila Smolyansky

**Name/Title:** Ludmila Smolyansky

**Date:** 06/04/2025

After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct.

**Reporting Person:** Edward Smolyansky

**Signature:** /s/ Edward Smolyansky

**Name/Title:** Edward Smolyansky

**Date:** 06/04/2025

After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct.

**Reporting Person:** The Edward Smolyansky Trust 2/2/16

**Signature:** /s/ Edward Smolyansky

**Name/Title:** Edward Smolyansky, Trustee

**Date:** 06/04/2025