Twin Rivers closes deal on P&G olestra plant
Technologies LP of Massachusetts, USA, has closed a deal to
purchase The Procter & Gamble Companies Olestra plant in
Privately held fatty acid producer Twin Rivers Technologies of Massachusetts, USA has closed a deal to purchase Procter & Gamble's olestra plant in Cincinnati, Ohio.
Terms of the deal that closed on 31 May 2002, are rumoured to be in excess of $100 million (€106.7m).
Twin Rivers plans to continue to produce Olestra and P&G will retain ownership of the Olean brand name, but the fatty acids producer may have other plans at the site such as developing new products like biodiesel, a renewable fuel derived from fats and oils.
The new company will be called Twin Rivers Natural Ingredients and for now, will concentrate on fulfilling orders for its two major customers Frito-Lay and P&G. Frito-Lay and P&G still use Olestra in WOW brand snacks and Pringles products.
The 33 technicians and five managers, who work at the four year old facility will have a two-year period to decide whether they will become employees of Twin Rivers or continue to work for P&G.
Twin Rivers Technologies is one of the largest and fastest growing fatty acid producers in North America, and is a key supplier to P&G. Its estimated 2000 sales figures were in excess of $10 million and they employ about 100 people at their manufacturing plant in Quincy, Massachusetts near Boston.
P&G markets more than 250 brands and employs nearly 106,000 people in more than 80 countries worldwide.