NETHERLANDS – Dutch supplier of speciality chemicals and food ingredients, IMCD, has successfully completed the acquisition of the Israeli distributor Zifroni Chemical Suppliers Limited.
Zifroni, based in Rishon Le-Zion, Israel was founded in 1950 and is a leading distributor of specialty chemical ingredients in Israel.
The company generated a revenue of €10.2 million (US$11.36 million) in 2019 through their representation of world leading producers from the US, Europe and Asia.
Commenting on the acquisition, John Robinson, a Director at IMCD said that Zifroni will further strengthen IMCD’s globalisation agenda, adding that the company is a perfect fit for IMCD.
Rafi and Moshe Zifroni, Managing Directors of Zifroni said: “We are delighted to become part of the IMCD family and excited about the potential of combining our knowledge of the growing Israeli market with IMCD’s global reach and strong technical formulation expertise.”
According to the terms of the acquisition, the company will continue with its present management and staff.
While this is the first acquisition the company has made this year, IMCD has closed 8 buyouts in the past one year, further consolidating its global footprint in the specialty chemicals and food ingredients market.
Late last year, IMCD acquired Colombia-based ingredient distributor, Unired Químicas SAS allowing the company to expand its presence in Latin America while complementing its operations in US, Canada and Brazil.
In November last year, the company also announced that it has completed the integration of California-based specialty chemicals distributor, Horn into its IMCD US operations.
As part of Horn’s integration, IMCD made major investments in digitalization, application laboratory expansion, recruitment of additional technical personnel and the implementation of IMCD’s global IT platforms.
The former headquarters of Horn located in La Mirada, California, now serves as the Western US regional hub for IMCD.
Specialty food ingredients downstream is wide, and recently specialty food ingredients has acquired increasing significance in various fields of beverages, sauces, dressings and condiments, bakery, dairy, confectionary and others.
Globally, the specialty food ingredients market is mainly driven by growing demand for beverages and sauces, dressings and condiments, according to a 360 Research Report.
Beverages and sauces, dressings and condiments accounts for nearly 35% of total downstream consumption of specialty food ingredients in globally.