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French yeast manufacturer Lesaffre has acquired a majority stake in Biorigin, a business unit of Zulior.
Biorigin produces natural ingredients designed to animal nutrition and human feeding segments. The acquisition aims to enhance the supply of yeast derivatives for savoury ingredients, improving production processes, logistics and services for customers worldwide.
Lesaffre will hold 70% of Biorigin's corporate capital, while Zilor retains a 30% stake. The acquisition includes Biorigin's production unit in Quatá, São Paulo, Brazil, a region rich in sugar, water and renewable energy resources.
The partnership will leverage the complementary capabilities of Lesaffre and Biorigin to deliver improved yeast derivative and savoury ingredient solutions. Customers will benefit from increased production capacity and new solutions using naturally derived ingredients for the human food and animal nutrition sectors.
Brice-Audren Riché, CEO of Lesaffre, said: "This acquisition of a majority stake in Biorigin represents an exciting new chapter for Lesaffre. It will offer development opportunities to meet the growing needs of the human food and nutrition industries, as society currently demands savoury ingredients from natural sources."
"We are stepping up to a new dimension thanks to this strategic move to reinforce Lesaffre and its business unit Biospringer by Lesaffre as global players in the field of yeast extracts for the savoury ingredients market. Importantly, we are doing this with a key strategic partner, Zilor, who shares similar values to Lesaffre and a strong focus on Corporate Social Responsibility. Committed to deliver responsible taste through Biospringer, and together with Biorigin, we are well-positioned to deliver enhanced yeast derivative and savory ingredient solutions to customers around the world."
Fabiano Zillo, CEO of Zilor, added: "Biorigin's 20-year history has been marked by innovation and commitment to sustainability. Throughout this time, Biorigin has built solid, long-term business partnerships, with great respect for its customers and other stakeholders."
"We believe this partnership will be a great opportunity to contribute to sustainable development and enhance the supply of yeast derivatives to the human food and animal nutrition markets. This deal will allow Biorigin to incorporate greater expertise, market insight and access to advanced R&D capabilities from Lesaffre and will allow Biorigin's parent company, Zilor, to join forces with a highly capable and experienced strategic partner."
Biorigin will retain its brand for product production, marketing and sales. Zilor will continue to manage and sell products made from alcoholic fermentation and brewer's yeast at its units in Lençóis Paulista and Macatuba.
The acquisition is pending regulatory approvals, including from the Administrative Council for Economic Defense (CADE), and is expected to conclude in the coming months. Until finalised, Biorigin and Lesaffre will operate independently.
Last week, DSM-Firmenich finalised the sale of its yeast extract business to Lesaffre.
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