Kerry acquires QA Products from CSM

by Josh Sosland
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KERRY, IRELAND — Kerry Group P.L.C. on Dec. 18 acquired the QA Products business of CSM nv. Terms of the transaction were not disclosed.

With annual sales of about $35 million, QA Products specializes in decorations for the baking and food industry. Based in Elk Grove Village, Ill., the company employs 165.

Headquartered in Ireland, Kerry Group is an international manufacture of food ingredients and flavors. Its sweet ingredients business includes chocolate coatings, compound coatings, clusters, agglomerates, particulates and rice crisps.

In addition, the company offers extruded particulates such as chocolate inclusions, shapes and forms and nuggets, chunks chips and flakes. The company serves the confectionery and bar businesses, cereal manufacturers, baking companies and yogurt/dairy companies.

QA products include decorettes and toppers; "fun shaped" toppings; candied, nut or crunch toppings; nonpareils; pastes, fillings and gels; shaped tablets; and chips and nuts.

"The sale of QA Products is in line with our strategy to further focus on core activities and growth markets," said Reinoud Plantenberg, the member of the CSM management board responsible for Bakery Supplies North America. "Within Kerry Group, QA Products will be offered new opportunities to develop in specific markets."

CSM, Diemen, The Netherlands, acquired QA ingredients in 1992, early in a spree of acquisitions in the U.S. baking ingredient market. In recent years, CSM has taken a number of steps to strengthen its U.S. business. In 2006, the company merged two major divisions — Caravan Products, Totowa, N.J., and American Ingredients Co., Kansas City — into a single operating company, Caravan Ingredients, Lenexa, Kas.

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