CHICAGO — Archer Daniels Midland Co. has reached an agreement to acquire Rodelle Inc., a processor and supplier of vanilla products. Financial terms of the transaction were not disclosed.
Founded in 1936 and headquartered in Fort Collins, Colo., Rodelle originates, processes and sells premium vanilla products, including organic and traditional extracts, beans, alcohol-free flavor and paste. The company also sells non-vanilla products, including flavorings, extracts, spice blends and organic spices.
Rodelle has a 65,000-square-foot extraction and processing facility in Fort Collins that also includes laboratories for testing and research and development. The company had fiscal 2017 sales of approximately $40 million.
“With the acquisition of Rodelle, we are continuing to grow our value chain by enhancing what is already one of the most comprehensive portfolios in the flavor industry,” said Scott Olstad, president of ADM’s North American Wild Flavors business. “Not only is vanilla one of the most popular and enduring flavors, but Rodelle’s integrated supply chain will allow us to offer an unparalleled range of certified organic and natural vanilla ingredients for today’s health-conscious consumers. The addition of Rodelle will give us immediate capabilities in both the retail and commercial vanilla markets, and we see significant opportunities to expand the business. We’re looking forward to working with the great Rodelle team to help build on their impressive success.”
ADM described Rodelle’s supply chain as “unique among major vanilla processors.” Rodelle owns a stake in Federation Sahanala Vanille in Madagascar, which includes more than 2,100 registered vanilla farmers, and also has a strategic partnership with Gourmet Gardens to provide sourcing of vanilla in Uganda.
“We are extremely excited to have reached this agreement and look forward to joining the ADM team and contributing Rodelle’s expertise in vanilla products to another well-established flavoring industry company,” said Joe Basta, co-founder of Rodelle. “The Rodelle brand and our loyal customers will benefit greatly from ADM’s technical expertise and commercial capabilities. The core of our business will remain unchanged, and our customers can expect the high-quality vanilla and baking ingredients they have relied on for over 80 years.”
Vince Macciocchi, senior vice-president at ADM and president of Nutrition, said the acquisition represents another important step in ADM’s strategy to create shareholder value.
“Rodelle will be a key part of our integrated human and animal nutrition business — a business that we are focused on growing,” Mr. Macciocchi said. “Earlier this summer, we announced two important additions to our Nutrition business unit: Neovia, a global leader in value-added animal nutrition products, and Probiotics International Ltd., a U.K.-based provider of probiotic supplements for human, pet and production animal use. With these and other transactions, we are strengthening our position as the go-to provider for nutrition customers around the globe, and we are excited about the benefits for customers and shareholders alike.”