Glanbia plc has agreed to acquire Flavor Producers LLC for an initial consideration of $300 million plus deferred consideration. The transaction is expected to close in the first half of 2024.

With a 40+ year history, Flavor Producers is an independent flavor business in the U.S., specializing in plant-based natural and organic flavors, extracts, and essences for the food and beverage industries.

Glanbia will operate Flavor Producers within its Glanbia Nutritionals business, complementing the company’s existing flavors capabilities. Building on its current strengths in natural flavors and maskers from its Foodarom business, the acquisition expands Glanbia Nutritionals’ offerings by deepening its capability in the beverage and food categories with an extensive library of plant-based natural flavors, organic flavors, extracts, and essences.

The acquisition will also increase Glanbia Nutritionals’ flavor innovation, manufacturing, and regional reach and footprint in North America.

“We are delighted to welcome Flavor Producers to Glanbia Nutritionals,” says Brian Phelan, CEO of Glanbia Nutritionals. “This acquisition is consistent with our strategy to grow our Nutritionals Solutions business and specifically our flavors platform. This business has a leading position in the U.S., built over 40 years, and is highly complementary to our existing flavor capabilities. We are excited about what the combined strengths of both businesses can bring as we continue to deliver better nutrition solutions to our customers and consumers alike.”

“The Flavor Producers team is excited to join Glanbia Nutritionals for the next chapter of our development,” says Michael O’Neill, CEO of Flavor Producers. “Our combined capabilities will make us an industry-leading innovation partner for our valued customers. With this great team, we look forward to an exciting future ahead.”