Symrise is expanding is scent and care activities with the acquisition of Sensient’s fragrance and aroma chemicals activities. In fiscal year 2019, the business unit generated revenues of approximately 77 million euros.
With the acquisition, the German-based group intends to strengthen its backward integration and broaden its leadership position as a supplier of fragrance ingredients. Symrise will furthermore gain access to additional customers and strengthen its presence particularly in EAME and Latin America. Symrise plans to also strengthen its manufacturing footprint in Spain with targeted investments in the manufacturing site in Granada that will be acquired.
“We constantly screen strategic opportunities in continuation of our ambitions in certain growth segments and also make bold steps in challenging times. With the Sensient activities, Symrise is expanding its range of fragrance ingredients and will thus boost its competitiveness in the creation of fragrance compositions. In view of the increasing importance of natural and renewable raw materials for the fragrance industry, the new product range ideally complements our current portfolio (…) while at the same time strengthening our leadership position in fragrance ingredients and green chemistry,” said Dr. Heinz-Jürgen Bertram, CEO of Symrise AG.
The Sensient aroma molecules and fragrance solutions are mainly derived from renewable raw materials such as pine oil and citrus by-products amongst others. Through the acquisition, Symrise will not only be able to significantly expand its renewable ingredients portfolio, but to also increase its green chemistry value chain which includes various downstream products coming from sustainable cultivated sources.
Symrise plans to combine the R&D competencies and manufacturing capacities of Sensient’s fragrance and aroma chemicals activities with parts of its own at the site in Granada. Over a period of three years, targeted investments will be made to grow the Granada site and make it the second largest compounding facility in EAME for fragrance ingredients and compounds.
The amount of the transaction has not been disclosed.