Gewurzmuller's 2006 Sales Totalled US$ 65 M (About Euro 46 M) Frutarom Establishes its Position as One of the 10 Largest Companies in the
World in its Field
Frutarom Continues to Implement Rapid Growth Strategy
HAIFA, Israel, October 15 /PRNewswire-FirstCall/ -- Frutarom Industries Ltd. (LSE: FRUT, TASE: FRUT, OTC: FRUTF.PK) ("Frutarom") announced today that it has signed an agreement to acquire 100% of the share capital of the German companies Gewurzmuller GmbH and Blessing Biotech GmbH ("Gewurzmuller" and "Blessing Biotech" respectively and together the "Gewurzmuller Group"), in consideration for a cash payment of US$ 67 million (Euro 47.3 million). The acquisition agreement also determines an earn out mechanism for a future payment, such that the final consideration to be paid will reflect a value for the Gewurzmuller Group based on a 7.1 multiple of the 2007 EBITDA. The Gewurzmuller Group's sales for 2006 totaled approximately US$ 65 million (Euro 46 million). Frutarom used long term loans to finance the acquisition.
Gewurzmuller was established by the Rendlen family, the seller, in 1896 and today is a leading international group with an excellent reputation in its field. Gewurzmuller, which employs 190 people, develops, produces and markets unique and innovative savory solutions, including savory flavors, seasoning compounds and functional ingredients for the food industry, with special emphasis on the fields of processed meat and convenience food. Blessing Biotech develops, produces and markets starter cultures, which are natural products based on microbiological processes, mainly fermentation of microorganisms and enzymes, and which are used to manufacture food, especially meat, dairy and baked goods. Starter cultures enable food manufacturers to control flavor, color, texture and shelf life.
The Gewurzmuller Group operates two production sites in Stuttgart,
Germany. The main site, which
|SOURCE Frutarom Industries Ltd|
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