SWITZERLAND, Niederuzwil. Frutarom Industries Ltd. continues its momentum of acquisitions with the purchase of 100% of the shares of the Swiss company Mühlehof Gewürze AG (Mühlehof) for approximately $7 mill.
Following the company the acquisition of Mühlehof is set to strengthen Frutarom’s leadership in Switzerland, allowing continued expansion and deepening activity across the country, while generating and exploiting synergies in the areas of R&D and sales.
The contract with Mühlehof was completed upon signing and financed through bank debt.
According to Mühlehof management reports, its sales turnover for the 12 months ending in June 2017 totaled around $3.4 mill. Founded in 1979, Mühlehof engages in the development, production and marketing of savory taste solutions, including flavors, seasoning blends, marinades and functional ingredients for the food industry, with an emphasis on meats.
The company, with 9 employees, runs a site in Switzerland for development, manufacturing and marketing which is included among the acquired assets. Mühlehof has a product portfolio of specialized solutions that are tailor-made for its customers and Swiss tastes that are based on considerable know-how and experience, and a broad customer base which includes leading Swiss retail chains for which Frutarom foresees a large number and variety of cross-selling opportunities.
Mühlehof’s activity is synergetic with Frutarom’s activity in Europe in the field of savory, which has grown significantly in recent years, particularly with its activity in Switzerland. Frutarom is a leading player in Switzerland in the field of flavors, including savory taste solutions and flavor extracts and products also containing fruit or vegetable or other natural components (Food Systems).
Frutarom sees a great strategic importance for rapid growth in the field of savory flavors in which it now holds a leading market position and is focused on developing unique innovative natural and healthy products with high added value at its sites throughout the world. The global market for savory flavors is growing due to the rise in the standard of living and changes in lifestyle and consumer habits bringing about increased demand for processed and convenience foods both for home consumption and for eating out.