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Corbion divests emulsifier business to Kingswood 

Corbion, a global ingredient solutions provider, has agreed to sell its emulsifiers business to Kingswood Capital Management. Kingswood is a private equity firm specialising in food and beverage investments. The agreement will enable Corbion to concentrate more on fermentation-based technologies. Additionally, it aims to offer customers and stakeholders in the emulsifiers sector a reliable partner for managing corporate divestitures. Kingswood, based in LA, US, is set to purchase Corbion's emulsifier business for $362 million in cash. After accounting for taxes and transaction costs, the anticipated net cash proceeds for Corbion are approximately $275 million. The deal includes multiple assets including two manufacturing plants in the US and about 175 employees. Corbion and Kingswood will collaborate, maintaining supply and service agreements, to facilitate a seamless transition. This approach aims to ensure that customers receive continued high-quality service. The divestment of Corbion's emulsifiers business aligns with the company's Advance 2025 strategy, introduced in March 2020. This strategy emphasises the expansion of core competencies centred on advanced expertise in fermentation. Andy Muller, president of sustainable food solutions at Corbion, said: “Corbion takes immense pride in its heritage as a pioneer and leader in the emulsifier industry, and we appreciate the dedicated employees and loyal customers who contributed to this successful chapter in our history". Muller continued: "Caring about the welfare of both our customers and our employees has always been part of building a premium emulsifiers business at Corbion, so that was very much on our minds when looking at potential new owners. We believe this deal matches our customers and employees with the right partners and leadership to help take them even further." Alex Wolf, managing partner at Kingswood, stated: "Kingswood is excited to take this world-class emulsifier business forward and build on its tremendous heritage by continuing to provide best-in-class service. We are delighted to partner with Corbion in creating the largest standalone pure-play emulsifiers business in North America." The sale is scheduled to conclude in the second quarter of this year, dependent on meeting certain conditions and regulatory approvals.

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