Speciality ingredients producer Innophos has completed the acquisition of US-based Novel Ingredients for $125 million.
Novel Ingredients supplies botanicals, proteins, amino acids and a range of other health ingredients for use in the food and nutrition spaces. The deal was originally reported on FoodBev earlier this month and is said to include Novel Ingredients’ 40,000-square-foot manufacturing facility in New Jersey, from where it supports production of more than 185 different ingredient solutions, employing around 100 staff.
“This is a significant day in Innophos’ history,” explains Kim Ann Mink, chief executive officer of Innophos. “We are delighted to welcome Novel into the Innophos family. This strategic combination creates a $500 million food, health and nutrition platform that represents 60% of revenue for the combined company.
“Our position as a market leading provider of vital ingredient solutions is strengthened through our combined innovative technology capabilities; a broader and deeper product portfolio and the addition of Novel’s experienced and dedicated people.
“In addition, by coming together with Novel, we more closely align Innophos with important consumer mega trends such as health and wellness, energised ageing and clean labels.
“We are confident that this acquisition will create significant long-term value for our shareholders and customers, alike. We are excited to begin focusing on the many opportunities before us. This includes leveraging our strengths as a combined company to broaden our range of science-based solutions for our customers, while delivering synergies to realize the full value of this combination.”
The addition of Novel Ingredients advances Innophos’ Vision 2022 strategy by growing Innophos’ food, health and nutrition portfolio, expanding its presence in high-growth nutrition end-markets and positioning the company to further develop innovative ingredient solutions that better serve its customers.
© FoodBev Media Ltd 2019
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