Lesaffre Strengthens Its Offerings Through Biorigin Acquisition

Lesaffre's Strategic Acquisition of Biorigin

Lesaffre, a distinguished global leader in fermentation and microorganisms, has made a significant stride in enhancing its portfolio by acquiring a majority stake in Biorigin. This acquisition marks a pivotal moment in the savory ingredients landscape, allowing Lesaffre to solidify its position in the market.

Enhancing Savory Ingredient Solutions

The collaboration with Biorigin, under the umbrella of Zilor, is anticipated to elevate production processes and logistics that serve a diverse customer base worldwide. With this deal, Lesaffre becomes the controlling shareholder, owning 70% of Biorigin’s total corporate capital. Zilor retains a 30% stake, fostering a partnership that is strategically beneficial for both parties.

Capitalizing on Natural Resources

Owning a production unit in Brazil, Biorigin benefits from the region's abundant natural resources, such as sugar and renewable energy. This geographical advantage allows for the sustainable production of naturally derived ingredients, catering to both human food and animal nutrition industries. The synergy between Lesaffre and Biorigin aims to deploy innovative yeast derivatives and savory solutions that fulfill the increasing global demand for quality ingredients.

A Vision for Sustainable Growth

Brice-Audren Riché, the CEO of Lesaffre, emphasizes that this acquisition opens a new chapter for the company. With evolving consumer preferences leaning towards natural ingredients, this strategic move not only enhances production capabilities but also aligns Lesaffre with the growing emphasis on sustainability in food production. Lesaffre's commitment to responsible sourcing and corporate social responsibility is echoed in its partnership with Zilor, reinforcing a shared vision for sustainable operations.

Biorigin's Legacy and Expertise

Biorigin is known for its two-decade legacy of innovation and dedication to sustainable practices. The acquisition will enable Biorigin to leverage Lesaffre's extensive market insights and advanced research capabilities. This collaboration will not only fortify Biorigin's existing operations but also expand its reach within the food and pet nutrition markets.

Maintaining Brand Integrity

Despite this acquisition, Biorigin's brand will remain intact, ensuring continuity in its branding approach and customer relations. Products like alcoholic fermentation yeast and brewer's yeast produced at the existing locations will continue to be marketed under Biorigin’s robust brand identity. Zilor will maintain responsibility for these specific product lines, further acknowledging the importance of established partnerships and customer loyalty.

Future Prospects and Independence

This strategic acquisition is subject to customary closing conditions, including approvals from various regulatory bodies. Until these conditions are satisfied, Biorigin and Lesaffre will operate independently, maintaining current business practices. This approach alleviates concerns from customers and stakeholders during the transition period.

About Lesaffre

With over a century of expertise, Lesaffre is a beacon of innovation in fermentation. Operating across 80 production sites in 50 countries, the company employs around 11,000 individuals of diverse nationalities. Lesaffre collaborates closely with partners and researchers, striving to address vital issues in food production, health, and environmental sustainability. The organization sees fermentation as a key solution to the pressing challenge of nourishing the growing global population efficiently.

About Zilor

Zilor, a Brazilian multinational with nearly eight decades of expertise, stands at the forefront of the sugar-energy sector. Its portfolio comprises two major divisions: agroindustry, focusing on sugarcane cultivation and processing, and the natural ingredients segment through Biorigin. Zilor's commitment to sustainability and innovation positions it as a leader in the production of essential ingredients for food and animal nutrition.

Frequently Asked Questions

What does Lesaffre's acquisition of Biorigin involve?

The acquisition allows Lesaffre to gain majority ownership of Biorigin, enhancing its production and supply of yeast derivatives in the savory ingredient sector.

How will this acquisition benefit customers?

Customers can expect improved production capacity and innovative solutions for naturally derived ingredients for food and animal nutrition.

Will Biorigin maintain its brand post-acquisition?

Yes, Biorigin's brand will be preserved for the marketing and selling of its products, ensuring continuity in customer engagement.

What are the main objectives of Lesaffre with this acquisition?

Lesaffre aims to expand its capabilities in the savory ingredients market while reinforcing its commitment to sustainability and innovation.

How does this partnership reflect on sustainability?

The partnership focuses on enhancing supply chains with a strong emphasis on sustainable practices and the use of natural ingredients to meet market demands.

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