Royal DSM is in exclusive discussions with Cargill that may result in the acquisition of Cargill’s cultures and enzymes business by DSM.
Royal DSM is in exclusive discussions with Cargill that may result in the acquisition of Cargill’s cultures and enzymes business by DSM. Cargill’s cultures and enzymes business is a global manufacturer of cultures and enzymes for the dairy and meat industries with manufacturing operations in Wisconsin (U.S.) and France. It has a pipeline of new products built on three pillars of technology: culture texture toolbox, fast acidification for cheese yield improvements, and culture flavor systems. The business generates net sales of about €45 million per year with approximately 200 employees.
A combination of the Cargill cultures and enzymes business with the dairy business of DSM Food Specialties would be complementary, creating a strong global player and enabling DSM to propel sales growth as well as capture synergies in global manufacturing footprint, customer reach, as well as innovation capabilities in biotechnology.
“This acquisition would be another great step in achieving our ambitious growth strategy,” said Hans-Christian Ambjerg, President DSM Food Specialties. “Combining both businesses would allow us to serve our customers faster with one of the most versatile offerings in cultures and enzymes in the global dairy industry. We have great respect for the knowledge and expertise of the people at Cargill.”
Both companies are now engaging in the information and consultation process with employee representative bodies in the relevant countries.