Givaudan acquires ConAgra’s Spicetec for $340 million
Posted: 26 May 2016 | | No comments yet
Givaudan has announced that it is to acquire ConAgra Foods’ Spicetec Flavors & Seasonings business for $340 million…
Spicetec offers a range of flavours, spices and savoury seasoning solutions to customers, primarily in North America. The transaction is expected to add approximately USD 185 million to Givaudan’s revenue on a full year basis.
Givaudan plans to fund the acquisition from existing resources.
Commenting on the acquisition, Gilles Andrier, CEO of Givaudan said: “This acquisition fits with our 2020 strategy to expand our offering to deliver integrated solutions where flavour and taste play a key role. Spicetec brings complementary capabilities to Givaudan with its strong portfolio of spices, seasoning blends and natural solutions.”
Mauricio Graber, President of Givaudan’s Flavour Division, added: “Combining Givaudan’s leading flavour expertise with Spicetec’s portfolio of products will enable us to deliver a broader range of solutions to our customers in processed meats, savoury retail and foodservice. Furthermore, these additional capabilities will help us strengthen the breadth of our industry leading natural ingredients, flavour and taste solutions.”
Acquisition includes transition of 280 employees
Headquartered in Switzerland and with a local presence in over 80 locations around the world, Givaudan is a global leader in the creation of fragrances and flavours. In close collaboration with food, beverage, consumer product and fragrance partners, Givaudan develops tastes and scents that delight consumers the world over. The Company achieved sales of CHF 4.4 billion in 2015.
Givaudan’s acquisition of Spicetec includes the transition of approximately 280 employees as well as facilities in Cranbury, N.J., and Carol Stream, Illinois.
Sean Connolly, president and chief executive officer of ConAgra Foods, said, “We are committed to becoming a more focused and higher performing company in order to drive greater shareholder value. Divesting Spicetec is the latest action we have taken that will allow ConAgra Foods to invest resources into our core product portfolio to drive sustainable growth.”