dsm-firmenich to sell yeast extract business to Lesaffre
General

dsm-firmenich to sell yeast extract business to Lesaffre

The divestment from Yeast Extracts is an outcome of that strategic review process

  • By ICN Bureau | June 18, 2024

dsm-firmenich, innovators in nutrition, health and beauty, announced an agreement to sell its yeast extract business (Yeast Extracts) to Lesaffre, a key global player in fermentation and micro-organisms. Yeast Extracts is part of dsm-firmenich’s Taste, Texture & Health business unit, with annual sales of about €120 million.

As part of dsm-firmenich’s tuning of its portfolio, the company de-prioritized certain business segments. The divestment from Yeast Extracts is an outcome of that strategic review process, which was announced on June 3.

As part of the transaction, Lesaffre will enter into an agreement to supply yeast extracts to dsm-firmenich for its Savory business. In addition, dsm-firmenich and Lesaffre will enter a technology partnership for the development of yeast extracts.

After the completion of the deal, dsm-firmenich will continue to supply yeast extracts produced in Delft to Lesaffre until the end of 2025, after which point the yeast extracts production in Delft will be discontinued. Lesaffre will ensure uninterrupted supply to Yeast Extracts customers and provide them with the same service levels and innovation support as today.

Also as part of the deal, some of the dsm-firmenich employees working on Yeast Extracts will transfer to Lesaffre.

The transaction is subject to customary regulatory approvals and works council consultations at dsm-firmenich and is expected to be closed by the end of this year. Financial details will not be disclosed at this time.

Register Now to Attend Navigating the Path to Net-zero in the Chemicals Industry on Friday, 26 July 2024

Other Related stories

Startups

Chemical

Petrochemical

Energy

Digitization