Israel-based flavors ingredients company Frutarom has completed its acquisition of US-based flavors extracts company Foote & Jenks for approximately US$4 million.
The acquisition is part of an ambitious expansion plan for Frutarom and is the eighth that the company has completed this year. Just last month, Frutarom acquired New Zealand-based Taura Natural Ingredients, which specializes in concentrated and texturized fruit ingredients, for approximately $70 million.
Founded in the early 1980s, Foote & Jenks develops, manufactures and markets flavor extracts for the pharma, food and beverages industries. The company has 10 employees and operates a site in New Jersey where production, research and development and marketing takes place. Last year, the company had sales of approximately US$2.9 million, largely from consumers based in north America.
Ori Yehudai, President and Chief Executive Officer at Frutarom, commented, “This is an acquisition of growing and profitable flavor activity, Frutarom’s most profitable core field. A major part of F&J sales is to customers in the pharma industry who demand advanced solutions for masking the aftertaste of active ingredients contained in their products, as well as high quality, and conformance with strict regulatory requirements.”
“Frutarom already operates in this area and views it as an attractive field of endeavor for itself, which also provides a good fit with the activity of its specialty fine ingredients division that includes activity in active ingredients with added health value for the pharma and nutraceutical industries. We see significant synergies between F&J activity and Frutarom’s flavors activity in the U.S, and we intend to leverage the cross-selling possibilities that this acquisition generates both by expanding the product portfolio and by broadening the customer base.”