€650m Dutch supplier Barentz Europe has paid an undisclosed sum for Italian firm, Prochifar, that specialises in chemicals for the nutraceutical, pharmaceutical, food and feed sectors
Barentz said the buy fit their ongoing strategy to bolster its health and wellness activities, its pharma and cosmetic divisions and provide synergies with its Vitablend blends business, especially in Asia.
“We are growing by concentrating on quality, service and innovation. We foresee that this acquisition will create many synergies, not only in the Italian market, but also in our other international markets,” said Barentz CEO Hidde van der Wal.
“Also in sourcing, this brings new challenging opportunities for our Indian and Chinese operations.”
Barentz acquired UK life sciences firm, Forum Products Ltd at the end of 2011. Like Prochifar, Forum speclialises in “tailor-made solutions” in food, supplements, pharma, cosmetics and animal feed applications.
In 2011, Barentz also took a majority share in Rewe Group-owned Rewe Food Ingredients (RFI) in Germany which has a strong line in sourcing Asian ingredients.
Of that deal, van der Wal, said: “RFI brings years of experience with regard to sourcing of food ingredients in Asia and has good relationships with top suppliers. Together we can develop more critical mass and can strengthen our cost leadership position."
The company said it will expand its Vitablend activities in Asia with a new plant in Singapore, slated for completion by the end of the year.
That facility will double potential batch sizes from 500kg to 1000kg and permit annual production of 1500 tonnes, if two shifts per day are worked.
The company already has a sales presence in Kuala Lumpur, Malaysia, and Jakarta, Indonesia, along with Australia and New Zealand.
Between 2006 and 2011 Barentz turnover has increased from €390m to €650m fed by other acquisitions such as that of Dutch soy and lupin specialist, MDB Twello, and organic growth.