Tuesday, October 20, 2020

Chr. Hansen offloads Natural Colours business

Chr. Hansen, the Danish natural ingredients specialist, is selling its Natural Colours subsidiary to the EQT IX fund for €800 million.

Headquartered in Hørsholm, Natural Colours is a developer and manufacturer of natural colouring ingredients, serving over 1,600 customers in the food and beverages industry. It generated sales of €224 million in 2018/19.

Its products are made from all-natural fruit and vegetable concentrates from sweet potatoes, grape skin, spirulina, carrots and beetroots. They are primarily used within F&B applications where the conversion from artificial to natural colorants is highest, such as dairy- and fruit preparations, confectionary, ice cream, prepared foods and beverages.

EQT intends to build on the existing strategy of continued organic growth in current markets with a focus on the US and Asia. The fund will also support acquisitive expansion within the highly fragmented foods colouring market by utilising the Natural Colours platform for industry consolidation.

Moreover, EQT plans to invest significantly in the company’s organisation and strengthen its digital infrastructure, sustainability capabilities and supply chain setup.

“The divestment of the Natural Colours Division completes the Review part of our recently launched 2025 Strategy. Chr. Hansen can now focus on fulfilling the ambition of becoming a pure-play, microbial and fermentation company with industry leading, profitable growth,” said Mauricio Graber, CEO of Chr. Hansen.

“I am convinced EQT will be a great owner of the Natural Colours business which has a leading global position in the industry. During the process it has become clear that EQT showed the strongest conviction in the potential of the business, and the highest dedication to the future development of it.”

The transaction is expected to close in H1 2021.

A message from the Editor:

Thank you for reading this story on our news site - please take a moment to read this important message:

As you know, our aim is to bring you, the reader, an editorially led news site and magazine but journalism costs money and we rely on advertising, print and digital revenues to help to support them.

With the Covid-19 pandemic having a major impact on our industry as a whole, the advertising revenues we normally receive, which helps us cover the cost of our journalists and this website, have been drastically affected.

As such we need your help. If you can support our news sites/magazines with either a small donation of even £1, or a subscription to our magazine, which costs just £31.50 per year, (inc p&P and mailed direct to your door) your generosity will help us weather the storm and continue in our quest to deliver quality journalism.

As a subscriber, you will have unlimited access to our web site and magazine. You'll also be offered VIP invitations to our events, preferential rates to all our awards and get access to exclusive newsletters and content.

Just click here to subscribe and in the meantime may I wish you the very best.
















Latest news

Plant-based company positions carrot as heart of latest launch

Bolthouse Farms has launched a new line of plant-powered products based around carrots as the California company doubles down on its ‘Plants Powering People’...

Firmenich & Novozymes launch novel sugar reduction solution

Firmenich, the world’s largest privately-owned perfume and taste company, and Danish biological solution leader Novozymes, have launched a new jointly developed natural sugar reduction...

Goya expands manufacturing & distribution capacity

Hispanic food producer, Goya Foods, has invested $80 million to expand its manufacturing and distribution facility in Brookshire, Texas. The expansion includes the purchase of...

Improve your pack room equipment

Kite Packaging has recently expanded two of its popular pack room products – its dynamic gummed paper tape machine and glue gun bundles. Efficiency in...

Multi-million-dollar funding for Ontario dairy processors

The Canadian Government is providing more than $2.5 million in funding to support Ontario dairy processors and to enhance productivity. Kawartha Dairy and Mariposa Dairy...

Barry Callebaut breaks ground on new Ecuadorian cocoa facility

Barry Callebaut has broken ground for the construction of a new, state-of-the-art cocoa facility in Durán as the Swiss chocolate specialist aims to grow...

Related news

Plant-based company positions carrot as heart of latest launch

Bolthouse Farms has launched a new line of plant-powered products based around carrots as the California company doubles down on its ‘Plants Powering People’...

Firmenich & Novozymes launch novel sugar reduction solution

Firmenich, the world’s largest privately-owned perfume and taste company, and Danish biological solution leader Novozymes, have launched a new jointly developed natural sugar reduction...

Goya expands manufacturing & distribution capacity

Hispanic food producer, Goya Foods, has invested $80 million to expand its manufacturing and distribution facility in Brookshire, Texas. The expansion includes the purchase of...

Improve your pack room equipment

Kite Packaging has recently expanded two of its popular pack room products – its dynamic gummed paper tape machine and glue gun bundles. Efficiency in...

By continuing to use the site, you agree to the use of cookies. more information

The cookie settings on this website are set to "allow cookies" to give you the best browsing experience possible. If you continue to use this website without changing your cookie settings or you click "Accept" below then you are consenting to this.

Close