USA – International Flavors & Fragrances (IFF) and DuPont’s Nutrition & Biosciences (N&B) business have announced the purpose and vision, operating model and executive committee for the intended combined company.
Building on the previously announced merger between IFF and DuPont’s Nutrition & Biosciences (N&B) business which is expected treate a US$45.4 billion company on an enterprise value basis, the companies said that they anticipate the transaction will close in the first quarter of 2021.
According to a statement jointly issued by the two companies, the combined company will be guided by a purpose and vision that touches on the core strengths of each business, helping unify the future organization toward one shared goal.
The combined company’s purpose will be ‘Applying science and creativity for a better world’ as the partners continue to push past traditional industry boundaries and commit to be a force for a better and more sustainable future.
Core to the combined company’s strategy for success, IFF and DuPont said that a central vision to “Be the partner for essential solutions” will guide future strategy and initiatives.
The combined company will be composed of four division: Taste, Food & Beverage, Scent and Health & Biosciences, Pharma Solutions
Bringing together IFF’s Taste division and N&B’s Food & Beverage segment, Taste, Food & Beverage will represent approximately US$6.1 billion in pro forma 2019 net sales for the combined company.
As the combined company’s largest division and with significant opportunity in integrated solutions, Chairman and CEO Andreas Fibig intends to be actively involved in guiding this division to achieve the compelling benefits of this combination.
The Scent business will be composed of IFF’s Scent division, the combined company’s Scent division will represent approximately US$2 billion in pro forma 2019 net sales for the combined company.
The Scent offering includes Fine Fragrance, Consumer Fragrance and Cosmetic Actives segments, as well as natural and synthetic ingredients.
The combined company’s Health & Biosciences (H&B) division will represent approximately US$2.3 billion in pro forma 2019 net sales for the combined company.
This division will contain N&B’s current Health & Biosciences business, with the exception of food protection, which will become part of the combined company’s Taste, Food & Beverage division.
This portfolio will include sustainable, clean label and high-performance solutions such as Probiotics, Infant Nutrition, HMO, Fibers; Cultures, Food Enzymes; Home & Personal Care; Animal Nutrition; Biorefineries and Microbial Control.
The Pharma Solutions division at the combined company, will be composed of N&B’s current Pharma Solutions business, will represent approximately $0.8 billion in pro forma 2019 net sales for the combined company.
Post-merger, the companies also intend to create a new Integrated Solutions Center of Excellence to focus on incubating new business opportunities in total product solutions.
In addition, IFF will establish a Center for Commercial Excellence to support business and commercial teams through development of best practices, customer insights analysis, resource deployment and the optimization of pricing strategies and solutions.
Each group will be led by a newly appointed senior executive that will report to Chairman and CEO Andreas Fibig.
The divisions will be supported by a centrally-led functional excellence model, including Finance, Operations, Research & Development, Human Resources, IT, Investor Relations & Communications and Legal.
The Executive Committee of the combined company will include: IFF Chairman and Chief Executive Officer, Andreas Fibig, as the new Chairman and CEO; and Rustom Jilla, as the Executive Vice President and Chief Financial Officer.
Matthias Haeni and Amy Byrick, will head the Taste, Food & Beverage division; Nicolas Mirzayantz, will be President Scent division; Simon Herriott, President, Health & Biosciences; Angela Strzelecki, President, Pharma Solutions.
“We are thrilled to announce the progress that we have made to identify a leadership team comprising the best-of-both organizations and an operating philosophy that builds on our combined deep histories of creativity, innovation and caring for our communities,” said Andreas Fibig.