USA – DuPont has received approval from the European Commission (EC) to divest its alginates business to JRS Group, a manufacturer of functional additives from plant-based raw materials.
The divestiture, expected to close in the third quarter 2018 was a requirement set by the EC for its proposed acquisition of FMC’s Health & Nutrition (H&N) business in 2017.
DuPont will acquire substantially all of FMC Corp.’s Health & Nutrition business while FMC Corp. will acquire a portion of DuPont’s crop protection business under an agreement reached by the two companies March 31.
The transaction includes DuPont’s pure and buffered alginates, a specific portfolio of pectin-alginate blends, the associated Landerneau production site and customer relationships.
According to JRS Group, the acquisition complements its broad product portfolio to develop innovative solutions for global customers as well as strengthening its Life Science Division.
JRS focusses on ‘Green Products’ made of renewable, botanical resources thus alginates were a perfect fit for their product portfolio of excipients and hydrocolloids for pharma, food and personal care applications.
“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 food ingredients and pharma excipients market,” said DuPont N&H Business President Matthias Heinzel.
Josef Otto Rettenmaier, President of JRS Group added that they were fully committed to ensure a seamless transition of the business and will be in contact with all customers prior to closing.
After the transaction closes, DuPont N&H will continue to be active in the alginates market through the FMC H&N alginates portfolio.