Firmenich has acquired a minority stake in China-based flavours firm ArtSci for an undisclosed sum, boosting its presence in the Chinese market.
Hangzhou-headquartered ArtSci predominantly specialises in ingredients for the dairy and beverages sectors, and Firmenich claims that the company is “recognised in China for its best-in-class service levels, as well as agile and fast business model.”
With more than 130 employees, ArtSci also boasts a broad distribution network across central and western China.
The deal further boosts Firmenich’s operations in the country, building upon the recently agreed distribution partnership with Layn Natural Ingredients, a China-based producer of plant-based sweeteners, flavours and botanicals.
Firmenich has also made a number of significant production investments in the country over the last few years, including the construction of a flavour manufacturing plant in Zhangjiagang, and the inauguration of a research centre in Shanghai.
Gilbert Ghostine, Firmenich CEO said: “Firmenich has great ambitions in China, as evidenced by our recent strategic investments.
“I am delighted about our reinforced partnership with ArtSci, building on our successful distributor agreement, as it opens new avenues of growth across central and western China for both of us.”
Patrick Firmenich, chairman of Firmenich added: “For more than three decades, Firmenich has been deeply committed to investing and growing in China.
“This strategic partnership with ArtSci reinforces our long-term commitment by expanding our reach across China’s middle-market.”
Wang Ying, chairman of ArtSci added: “We are delighted to be partnering with Firmenich, a world leader in taste with world-class technologies and innovation.
“With our strategic partnership, we can offer a broader portfolio of solutions and strengthened capabilities to our customers across China to best meet their needs today and in the future.”
Earlier this year, Imad Farhat, Firmenich’s global vice president of Taste Platform, spoke with FoodBev about the firm’s efforts in sugar reduction and its strategy in China, claiming that the Chinese market: “taught us to think much more broadly about taste perception, and that’s been extremely beneficial for us.”
© FoodBev Media Ltd 2019