Royal DSM NV in talks to acquire culture and enzymes business of Cargill
Royal DSM NV, Dutch chemical and pharmaceutical group is in exclusive discussions to buy Cargill’s culture and enzymes business.
It also plans to have a larger share of over €1 billion global market for cultures and enzymes.
Cargill’s cultures and enzymes business is a global leading manufacturer of cultures and enzymes for the dairy and meat industries with manufacturing operations in Wisconsin- the U.S. and France and also generates net sales of about €45 million per year.
The Cargill cultures and enzymes business has a strong pipeline of new products built on three pillars of technology namely culture texture toolbox, fast acidification for cheese yield improvements and culture flavor systems.
The combination of the Cargill cultures and enzymes business with its own dairy business will be highly complementary, the reports said. This will also enable it to propel sales growth as well as capture sizable synergies in global manufacturing footprint.
Hans-Christian Ambjerg, President DSM Food Specialities said, “This acquisition would be another great step in achieving our ambitious growth strategy.” Mr. Ambjerg also said, “Combining both businesses would allow us to serve our customers faster with one of the most versatile offerings in cultures and enzymes in the global dairy industry.”
Royal DSM is a global science-based company. It offers solutions that nourish, protect, and improve performance in global markets like pharmaceuticals, medical devices, automotive paints, life protection and bio-based materials.