Symrise buys into North Africa and Middle East
Futura Labs specialises in flavours and natural extracts for the food and beverage industry, and also produces perfume oils fine fragrance, cosmetic and household products.
Financial details of the acquisition were not disclosed but Symrise did reveal that Futura Labs achieved sales of $15.1 last year and has “an excellent track record” in sale growth and profitability.
Fast growth
With production facilities in Cairo and Dubai, Futura Labs is operating in some of the fastest growing regions of the world. By acquiring the company Symrise plans to take a lead in these dynamic markets.
“Our long term plans for Middle East and Africa regions are to become market leader in the fields of flavorings and beverage compounds for the whole food and beverages industry,” said Symrise spokesperson Bernhard Kott.
Futura Labs has historically focused on beverage flavours and compounds that it manufactures for soft drink and dry beverage applications. In 2002, the company built and opened a facility in Dubai dedicated to the production of aseptic beverage ingredients.
The business move has been rewarded as the financial crisis of the last year has had little impact on soft drink sales in the Middle East and Africa. Euromonitor research manager Alice Diepenbrock picked out these regions as the most promising emerging markets for soft drinks at Drinktec in Munich this year.
Business direction
Growth opportunities are plentiful in beverages but Symrise said it would also grow other corners of the Futura Labs business. Kott said: “A strong focus of Futura Labs in the past was related to beverage flavors and beverages compounds. But we at Symrise are committed to grow all 3 major segments - beverages, sweet and savory.”
The acquisition is expected to be closed in the first quarter of 2010.
