Terms of the acquisition deal have not been released. Though, IFF anticipates that Fragrance Resources will increase company revenue by $75m.
For the time being, IFF and Fragrance Resources are continuing on as separate companies. Once all the customary approvals come through, that will change. And according to an IFF press release, the acquisition should be complete before the end of January 2017.
In 1987, Horst F.W. Gerberding founded Fragrance Resources as a solution-centered company. The company’s work in fine and personal care is quite specialized. Perfumers at Fragrance Resources tailor each scent to the unique use of a given product. “Our vivid fragrance creations breathe life into shampoos and creams and evoke recognition and an emotional response. Depending on the project, we can convey simplicity, freshness, zest for life or gentleness,” explains the Fragrance Resource site.
“Our success in personal care fragrance development is proven in the marketplace everyday with numerous high-profile prestige, specialty and mass brands.”
For IFF, the acquisition looks to be a painless way to grow its core business: “IFF’s Vision 2020 business strategy is well-served with this highly-complementary bolt-on acquisition, helping us to win where we compete in key fragrance markets and categories as we look to accelerate growth,” Andreas Fibig, IFF chairman and CEO, tells the press. “With our shared values and a passion for our people, products, and customers, Fragrance Resources will be a strong addition to IFF.”
Speaking more directly to the regional advantages that Fragrance Resources will give the company, Nicolas Mirzayantz, group president of fragrances at IFF, notes that “since 1987, the Fragrance Resources team has been a key player in faster-growing specialty fine fragrances – an important growth category. The addition of this outstanding company into the IFF family will help us strengthen our position in strategic areas and further penetrate the critical and accelerating regional customer base that we see as the engine of growth. We look forward to welcoming the Fragrance Resources family into ours.”