Frutarom Acquires Aromco For $25 Million
Frutarom Industries has strengthened its position within the international flavours and specialty fine ingredients market with the acquisition of UK-based Aromco for $25m (£15m) in cash. The deal marks Frutarom’s fourth acquisition in the flavours sector since the beginning of 2011.
Aromco develops, manufactures and markets flavours for the beverage, dairy, confectionary, bakery and savoury markets, and achieved sales of £7.7m in 2010. Aromco’s owner, Keith Brown, founded the company in 1985 focusing on business development and penetrating into developing markets with high growth potential in Eastern Europe, Africa and Asia as well as building a market share in the UK.
Acquiring Aromco will enable Frutarom to broaden its activity and market share in these developing markets, which enjoy high growth rates, as well as to strengthen its current product supply chain. Additionally, Frutarom will utilise Aromco’s extensive innovation activities in flavour creation, development and application.
