Symrise said this will result in providing a wider variety of taste solutions to a larger customer base in North America and drive accelerated growth in the region for Symrise’s Flavor & Nutrition segment.
In the fiscal year ended June 2021, Giraffe Foods saw an increase in sales of more than 25%, generating revenues of approximately C$80m (US$63.3m). The closing of the transaction is expected before the end of 2021. The purchase amount has not been disclosed.
“We consider this acquisition as a strategic opportunity to expand our portfolio into the highly attractive market for customized flavor and taste enhancement solutions. By combining Symrise’s Flavor & Nutrition expertise with Giraffe Food’s custom formulation capabilities, we aim to become a leader in integrated taste solutions in North America to always better serve our customers. The acquisition of Giraffe Foods supports our well established Symrise businesses in the region and will enlarge our value proposition in Taste, Nutrition and Health,” said Dr Jean-Yves Parisot, president flavor & nutrition at Symrise AG.
Symrise said the move strengthens its market position with a fast-growing customer base in North America. The company added moving further down the value chain will facilitate access to and further develop new capabilities, including advanced food science and culinary expertise, proprietary recipes as well as new and sustainable packaging formats.
Ari Powell, CEO of Giraffe Foods Inc., said, “I am very excited about this transaction. Our two organizations share a common culture that always puts the customer first. We will now be able to provide a larger variety of advanced flavor solution systems and products to a broader set of customers, accelerating our growth for years to come.”
Symrise will acquire 100% of the Mississauga, Ontario based Giraffe Foods from private investment firm Graham Partners and the founding Powell family. Symrise will finance the transaction through a dedicated bank facility. As part of the transaction, Symrise will acquire the existing two production facilities and one warehousing site and integrate the approximately 250 employees of Giraffe Foods.