HERZLIYA, ISRAEL — Frutarom Industries Ltd., one of the world’s largest companies in the field of flavors and specialty fine ingredients, has completed yet another acquisition, its ninth over the past year. Frutarom has acquired Scandia Citrus L.L.C., a Lakeland, Fla.-based company that specializes in the research and development, manufacture, and sales and marketing of specialty solutions in the field of citrus for leading global customers in the flavor, food and beverages markets, for approximately $6 million.
Scandia’s sales in 2014 totaled approximately $8 million.
Frutarom said the acquisition of Scandia fits in nicely with its purchase of CitraSource in February 2014. CitraSource also specializes in citrus and has production facilities and development labs situated in Florida not far from those of Scandia.
As for Scandia, Frutarom said the company’s extensive knowledge in citrus, R.&D. and marketing capabilities, and its ingenuity, which includes a unique technology for the molecular distillation of citrus oils, will enable Frutarom to further strengthen its center of excellence in Florida in the field of citrus and to provide its customers innovative added-value products and solutions. Additionally, Scandia has global purchasing abilities in the field of citrus from specialty crop growing and supply sources, and combining these with Frutarom’s capabilities will further reinforce Frutarom’s position as a leading player in the research and development, manufacture and sales of specialty citrus products, the company said.
“Frutarom got its start in the cultivation and extracting of citrus in Israel,” said Ori Yehudai, president and chief executive officer of Frutarom. “Today, 82 years after Frutarom was founded, citrus still makes up a large and important part of our activity and constitutes one of our competitive advantages. The improved back integration brought about with the acquisition of CitraSource last year will now be further reinforced with the acquisition of Scandia and help us continue establishing our position as a global leader in the citrus market while enhancing our offerings of innovative products and the service we provide our customers.
“The acquisition of Scandia provides Frutarom advanced R.&D. capabilities, unique technology, global purchasing capabilities with emphasis on North, Central and South America, and a leading and experienced management team, and it further enhances our presence in Florida, one of the worldwide centers for citrus. The acquisition represents another milestone and is the realization of the strategy for both expanding in the United States and broadening our portfolio of natural products in response to market trends and the needs of our customers in the flavors and food and beverages market.”
