The next step is to blend in the Nutrafur products with Frutarom's portfolio of natural ingredient solutions and expand the latter’s line-up of natural products for both food and health products.
The move follows a number of acquisitions earlier in the year to benefit Frutarom’s food preservation and production lines, but this one also appeals as it presents many cross-selling opportunities
"Over the last few months Frutarom has made a major leap forward in strengthening its position as a leading global producer of natural specialty ingredients and the acquisition of Nutrafur fits in well with our rapid and profitable growth strategy,” says Ori Yehudai, President and CEO of Frutarom Group.
“We are convinced that this acquisition too will contribute towards the continuation of Frutarom's rapid and profitable growth and will generate top value for our customers, our employees, and our investors."
Acquisitions not over yet…
Nutrafur bases its products around natural plant extracts such as Olive, Citrus, and Rosemary, and the health side of its business provides solutions for the nutraceutical and cosmetics fields.
The Spanish firm’s sales for the 12-month period ending June 2015 amounted to approximately $ 13 million (€11.6m); and it has an R&D and sales centre, and a manufacturing site in Murcia, Spain, with a large production capacity and the possibility for considerable expansion.
Frutarom says the acquisition will allow for significant operational savings in its global manufacturing structure in the area of natural extracts, and it may not be the last.
"The acquisition of Nutrafur is our tenth acquisition since the beginning of the year and we are working on identifying and executing further strategic acquisitions,” says Yehudai.
“We will continue implementing our rapid growth strategy which is based on combining profitable internal growth with strategic acquisitions in order to achieve the goals we recently set for ourselves.”