Frutarom acquires Belgium’s Taiga

https://www.dreamstime.com/royalty-free-stock-photo-isolated-belgian-flag-clipping-path-image4850405Frutarom has continued implementing its rapid growth strategy with the acquisition of the Belgian flavours company Taiga for approximately US$2.9 million.

 

Established in 1992, Taiga engages in the development, production and marketing of flavours for the food, beverage and tobacco industries, including to leading manufacturers of chocolates. The company has 14 employees and serves a broad customer base extending from Europe to North America from its site in Belgium which is home to all its production, research and development, and marketing activities. In 2014 Taiga sales turnover amounted to US $4.9 million.

 

Frutarom said it will work towards capitalising to the fullest on the abundant cross-selling possibilities presented by the acquisition and aims to expand the product line sold to the company’s existing customer base. The company added that it will also strive to maximise operational and commercial efficiency from the merging of Taiga’s activities with its own activity in Europe based on Frutarom’s existing infrastructure and optimisation of production sites.

 

Taiga’s founder and CEO will continue to be involved in operations with regards to business development and customer relations, as well as the operational aspects of integrating production activity into Frutarom’s existing infrastructure, together with Frutarom management.

 

“This is an acquisition of activity in the field of flavours, Frutarom’s core activity, which boasts high profitability margins,” said Ori Yehudai, President and CEO of Frutarom. “We see significant synergies between Taiga’s activity and Frutarom’s flavors activity in Europe and intend to leverage the cross-selling opportunities generated by this acquisition both by broadening the product portfolio and expanding the customer base.”

 

“We are continuing to implement our rapid and profitable growth strategy which combines internal growth and strategic acquisitions. The acquisition of Taiga is the third acquisition we are performing this year, and follows the three acquisitions in 2014. Meanwhile, we are continuing to work towards identifying and carrying out further acquisitions of companies and operations in our fields of activity, placing particular focus on markets exhibiting high rates of growth.”