Frutarom Industries has bought flavouring company Aromco for $25m.
UK-based Aromco develops, manufactures and markets flavours for the beverage, dairy, confectionery, bakery and savoury markets.
The acquisition will enable Frutarom to “broaden its activity and market share in these developing markets,” the Israeli-based ingredients firm said yesterday (21 August).
In addition, Frutarom will utilise Aromco’s innovation activities in “flavour creation, development and application,” as well as to strengthen its current product supply chain, the company added.
Frutarom CEO and president Ori Yehudai said: “We are convinced that the current acquisition will contribute to Frutarom’s rapid growth and profitability and will produce high value to our customers, employees and investors.”
Frutarom Industries recently posted record profits of US$25.4m for the first half of the year, despite recording a fall in second-quarter net profit of $12.3m, compared to $13m in the same quarter last year.