Celanese to sell Nutrinova’s Omega-3 Business
Celanese reported that several companies have already indicated interest in Nutrinova's DHA business, as they are aware of the increasingly growing omega-3 market.
08/07/05 Celanese is reviewing strategic options for the omega-3 DHA business of Nutrinova and the related biotech platform, including the possibility of selling the business. Celanese reported that several companies have already indicated interest in Nutrinova's DHA business, as they are aware of the increasingly growing omega-3 market. The decision about Nutrinova’s omega-3 segment is in line with the policy of Nutrinova, the performance products business of Celanese Corporation, to continue executing its strategy of focusing on its core sweetener and food protection business.
Celanese spokesperson Michael Kraft would not reveal to FoodIngredientsFirst the companies that are currently interested or the amount that Celanese expects to generate from the sale. He noted that Celanese intends to take a decision regarding the future of the business by the end of the third quarter of 2005. Celanese has engaged Navigant Capital Advisors, LLC, a subsidiary of Navigant Consulting, Inc., as its financial advisor to evaluate strategic alternatives for the omega-3 DHA business, including management of discussions with interested parties.
According to Celanese, the microalgae-derived Nutrinova DHA product is gaining market acceptance and has the potential of becoming a prominent health-enhancing food ingredient. This is emphasized by a number of recent worldwide product launches in the functional foods and dietary supplements segments. The omega-3 market has become very attractive due to its high growth rates. Based on the numerous advantages of microalgae-derived omega-3 PUFA, the growth rates of these oils are expected to even outstrip other omega-3 sources such as marine fish oils.
