CSM Acquires ADM’s Specialty Ingredients Business

Hoetmer: The acquisition of ADM Specialty Ingredients Business is in line with our strategy of making bolt-on acquisitions that can be easily integrated, strengthen our market position and bring returns in excess of our cost of capital.

30/01/07 CSM has acquired for USD 55 million the Archer Daniels Midland (ADM) bakery enhancers, mixes, enrichments and Monoglycerides businesses which had sales of approximately USD 50 million in 2006. The product assortment is an excellent fit with the current product portfolio of CSM’s subsidiary Caravan Ingredients (CI).

No production facilities will be acquired. Production can be absorbed in existing CI production facilities. Commenting on this transaction Gerard Hoetmer, CEO of CSM, said: “The acquisition of ADM Specialty Ingredients Business is in line with our strategy of making bolt-on acquisitions that can be easily integrated, strengthen our market position and bring returns in excess of our cost of capital. This acquisition complements CI’s existing business and will enhance the service package to our customers.”