Givaudan to acquire Naturex for $1.6 billion

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In France, Givaudan has agreed to acquire a 40.6% stake in natural extracts and ingredients firm Naturex, for €135 ($167) per share, or €522 million. Upon closure, Givaudan plans to launch a mandatory cash tender offer for the rest of Naturex at the same share price.

“This combination is supported by a strong strategic rationale with an ambition to become the leader in natural ingredients,” says Olivier Rigaud, CEO of Naturex. The company employs 1,700 people and reported 2017 sales of €404.9 million.

Naturex’s portfolio includes colors, antioxidants, specialty fruits & vegetables, photoactive, and numerous other plant-based natural ingredients, designed to create healthy, authentic and effective products. Givaudan says the deal will create a “clear market leader” in natural extracts and ingredients.

The total deal—worth $1.6 billion—is subject to a number of stipulations, including mandatory overall acceptance threshold of 50% of Naturex share capital or voting rights and that Givaudan reserve its right to implement a squeeze if the conditions are met for such procedure.