Symrise Acquires Futura Labs Group
With the acquisition of Futura Labs, Symrise is again emphasizing its focus on dynamic emerging markets. We are strengthening our presence in North Africa and the Middle East which both have strong potential for further growth.
19 Nov 2009 --- Symrise has signed an agreement about the acquisition of the Futura Labs Group, a leading flavors and fragrances manufacturer in Egypt and the United Arab Emirates. With this acquisition, Symrise expands its footprint in several large and attractive markets in this region and creates the new market leader in Egypt. The product portfolio and client list of Fu-tura Labs have an excellent fit with the existing operations of Symrise in Egypt.
The acquisition is a significant step in expanding the presence of Symrise in Egypt, a fast-growing market with a population of 80 million, and in the dynamic Gulf region. Futura Labs is a privately held group headquartered in Cairo and the leading local manufacturer of flavors, emulsions and beverage compounds, extracts, seasonings and fragrances. It owns development and production fa-cilities in Cairo and a recently established production facility in Dubai. The per-sonnel have an in-depth knowledge about the local taste preferences and con-sumer’s demands.
The group has an excellent track record in sales growth and profitability and increased its revenues to 15.1 million US$ in 2008.
Dr. Heinz-Jürgen Bertram, Chief Executive Officer of Symrise, said: “With the acquisition of Futura Labs, Symrise is again emphasizing its focus on dynamic emerging markets. We are strengthening our presence in North Africa and the Middle East which both have strong potential for further growth. Futura Labs has an attractive base of international and regional clients and adds valuable new products to our existing portfolio in this region. The transaction will enable us to expand our market share while at the same time leveraging synergies in sales and production.”
The combination of Futura Labs with the existing operations of Symrise in the region will create the new market leader in Egypt, a dynamic flavor market which grows on a much higher level as traditional mature markets. The compa-ny has significant modern production capacity and an efficient supply chain or-ganization. It has a particularly strong position in the beverages industry, and its new production facility for aseptic beverage compounds in Dubai will provide Symrise with access to the beverage industry in the Middle East.
Symrise will acquire 100% of the shares of the Futura Labs Group. Both parties have agreed not to disclose the transaction price. The acquisition is subject to customary conditions and is expected to be closed in the first quarter of 2010. The founder and current majority owner of Futura Labs, Dr. Karim Greiss will continue to manage the businesses following their integration into the Symrise Group.
