Lesaffre Expands Savory Ingredient Solutions Through Acquisition

Lesaffre Strengthens Its Position in the Savory Ingredients Market

Lesaffre, a leading global player specializing in fermentation and microorganisms, has recently made headlines with its strategic acquisition of a majority stake in Biorigin. This collaboration aims to enrich the supply of yeast derivatives specifically designed for savory ingredients, thus enhancing the company's ability to meet rising market demands.

Acquisition Highlights and Strategic Benefits

Under the terms of this acquisition, Lesaffre will assume control of Biorigin, securing 70% of its corporate capital. Zilor, the parent company, retains the other 30% share. This deal encompasses Biorigin's production facility in Quatá, located in Brazil, which is known for its abundant resources such as sugar, water, and renewable energy. The integration of Lesaffre and Biorigin is poised to boost production processes, logistics, and services, ultimately benefiting a global customer base.

Driving Innovation in Savory Ingredients

The merger of Lesaffre and Biorigin is envisioned to leverage their combined strengths in enhancing yeast derivative and savory ingredient solutions. By utilizing advanced natural ingredients, both businesses aim to cater more effectively to the food and nutrition sectors. This union is expected to foster innovation and improve production capacity, offering customers fresh solutions.

Executive Insights on the Acquisition

Brice-Audren Riché, CEO of Lesaffre, emphasized the importance of this strategic acquisition, stating, "The merger marks a significant opportunity to satisfy the growing consumer demand for natural savory ingredients. Our partnership with Zilor aligns with our commitment to social responsibility while reinforcing our capabilities as key players in the yeast extract market. Together with Biorigin, we will be well-equipped to provide superior ingredient solutions globally."

Biorigin's Legacy and Future Potential

Fabiano Zillo, CEO of Zilor, echoed Riché's sentiments, highlighting Biorigin's longstanding commitment to innovation and sustainable practices over its 20-year history. This partnership is expected to enhance Biorigin's market insights and R&D capabilities, further bolstering its supply of yeast derivatives for both human food and animal nutrition sectors.

Maintaining Brand Identity and Operations

As part of the acquisition, the Biorigin brand will continue to be utilized for the marketing and sale of its products. Meanwhile, Zilor will retain its existing production units in Lençóis Paulista and Macatuba, further ensuring continuity in production and distribution. Biorigin's faculties will continue independent operations until the acquisition fulfills the necessary legal and regulatory conditions.

Looking Ahead

As this venture unfolds, both Lesaffre and Biorigin are focused on sustaining their individual business operations while integrating key strategies to achieve common goals. The expected completion of the acquisition remains contingent upon regulatory approvals and creditor consent, anticipated to finalize within a few months.

About Lesaffre

Lesaffre has been a pivotal player in fermentation for over a century. With a presence in 50 countries and 80 production sites, it employs around 11,000 individuals from diverse backgrounds. The company strives to respond to the global needs for health, nutrition, and sustainability by harnessing the power of microorganisms.

About Zilor

Zilor operates as a prominent entity in the Brazilian sugar-energy sector with nearly eight decades of expertise. It comprises two primary divisions: agroindustry and natural ingredients, the latter being home to Biorigin's operations. Zilor is committed to innovation, sustainability, and the transformation of agricultural resources into valuable food and energy solutions.

Frequently Asked Questions

What is the significance of Lesaffre's acquisition of Biorigin?

The acquisition allows Lesaffre to enhance its production capabilities and respond better to the increasing demand for savory ingredients globally.

Where is Biorigin's production facility located?

Biorigin's production unit is based in Quatá, Brazil, a location known for its rich renewable resources.

How does this acquisition benefit both companies?

The merger promotes innovation, boosts production capacity, and provides access to advanced R&D capabilities while maintaining each brand's identity.

Will Biorigin continue to operate independently?

Yes, Biorigin will maintain its independent operations until all legal and regulatory conditions for the acquisition are met.

What are Lesaffre's goals for the future?

Lesaffre aims to lead the market in natural savory ingredients while continuing to support sustainable practices through innovative partnerships.

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