Frutarom Industries Ltd. has acquired the Guatemalan flavor company
Aroma SA (held by International Aroma Corp, a Panama company) for a net
consideration of $12.5 million. As part of the transaction, Frutarom
is acquiring Aroma’s plant in Guatemala.
Aroma, which was established in 1990, is engaged in the development,
manufacture, and marketing of flavors, mainly for beverages, dairy
products, confectionary, snacks, and convenience food. The company has a
staff of 57 employees and a production, development, and marketing
site in Guatemala City. Aroma’s wide customer base includes global food
and beverage manufacturers as well as local food and beverage
manufacturers in Guatemala, Honduras, Costa Rica, El Salvador, and
additional growing markets, primarily in Central America.
In the past few years Aroma has been growing rapidly and its sales
increased 75% from 2009 to 2012 with a considerable improvement in the
profit and profitability, which amounted to $2.3 million. Aroma’s owner
and CEO has extensive experience in this industry and will continue to
manage Aroma’s business together with Frutarom’s management.
“Aroma is one of the leading local companies in Central America and
in the last few years has become a key supplier to leading global food
and beverage companies in these markets. The company anticipates
continued growth in sales to these customers, together with the
development of new markets. Frutarom intends to take advantage and
integrate Aroma's production, R&D, sales, and marketing
infrastructure with Frutarom’s global infrastructures in order to
leverage and exploit the cross-selling opportunities generated by this
acquisition,” said Ori Yehudai, President and CEO of Frutarom.