DuPont divests alginates business to JRS Group
25 May 2018 --- DuPont Nutrition & Health (N&H) has received approval from the European Commission (EC) to divest its heritage DuPont N&H Alginates business to JRS Group, a manufacturer of functional additives from plant-based raw materials. The divestiture is expected to close in Q3 2018.
The transaction with JRS Group includes the heritage DuPont N&H Alginates business, comprising pure and buffered alginates, a specific portfolio of pectin-alginate blends, the associated Landerneau production site and customer relationships.
The divestiture was a requirement set out by the EC upon its conditional approval of DuPont’s acquisition of FMC’s Health & Nutrition (H&N) business in 2017.
“The receipt of regulatory approval to divest the heritage DuPont N&H Alginates business is an important step in finalizing our integration of FMC’s Health & Nutrition Business. Our team is dedicated to creating value for our customers through the integration of our new DuPont N&H product portfolio, which combines the heritage portfolios of DuPont N&H, FMC H&N and Dow Food & Pharma to deliver a unique offering in the f
ood ingredients and pharma excipients market,” says DuPont N&H Business President Matthias Heinzel.
He tells FoodIngredientsFirst: “The divestiture was a requirement set out by the European Commission upon its conditional approval of DuPont’s acquisition of FMC’s Health & Nutrition (H&N) business in 2017 which included an alginates portfolio from FMC H&N. After completion of the divestment of the heritage DuPont Nutrition & Health (N&H) alginates business to JRS Group, DuPont N&H and JRS Group will each offer a solid portfolio of alginate products for the benefit of customers and consumers. The two companies will be competitors in the marketplace.”
“Alginates is produced from brown seaweed, which is a highly sustainable and natural source of raw materials. It is a key ingredient which can be used broadly for both food texturants and pharma excipients,” Heinzel adds.
In a statement sent to FoodIngredientsFirst, Andreas Nagel, Innovation Manager at JRS Group says: “The receipt of regulatory approval from the EU Commission to acquire DuPont's Alginate business is another milestone in strengthening the Life Science Division of JRS Group. We are continuously complementing our broad product portfolio to develop innovative solutions for our global customers. JRS focuses on 'Green Products' made of renewable, botanical resources. Therefore, alginates perfectly fit our product portfolio of excipients and hydrocolloids for pharma, food and personal care applications. We are fully committed to ensuring a seamless transition of the business and will be in contact with all customers prior to closing.”
DuPont N&H will continue to be active in the alginates market after the transaction closes through the FMC H&N alginates portfolio. DuPont N&H is one of the world’s leading specialty ingredients companies delivering unmatched value to the food, beverage, pharmaceutical and dietary supplements industries.
By Elizabeth Green
