HERZLIYA, ISRAEL — Frutarom Industries Ltd. has completed the purchase of 100% of the shares of worldwide Wiberg GmbH (formerly known as Sagema GmbH) of Austria and Wiberg GmbH of Germany (including Wiberg’s 50% ownership share in a Canadian subsidiary and 51% ownership share in a Turkish company) for approximately $130.4 million.
Founded in 1947 and headquartered in Salzburg, Austria, Wiberg provides specialty and savory solutions that include flavor extracts, seasoning blends and functional ingredients for the food industry. Specifically, Wiberg is focused on processed meats and convenience foods, as well as activity focused on innovative culinary solutions for restaurants, catering firms and chefs. Wiberg employs about 670 personnel throughout the world and operates five production sites, located in Austria, Canada, Germany, Turkey and the United States.
Additionally, the company has sales and marketing platforms in approximately 70 countries, with a presence in Europe, North America, Africa and Asia.
“Wiberg’s activities are largely synergetic with Frutarom’s global activity in the field of savory flavors, which Frutarom views as an important growth engine for itself,” Frutarom said. “About 10 years ago Frutarom embarked on a strategic course of action to significantly build up its global savory activity by acquiring leading companies in their fields possessing unique solutions and a strong position in strategic target markets. Frutarom now holds a leading market position in this field and focuses on developing unique innovative natural and healthy products with high added value at its sites throughout the world. Wiberg’s activity will enable Frutarom to reinforce its supply of savory products, with emphasis on the growing field of culinary solutions and on offering its customers throughout the world Wiberg’s wide selection of products and solutions in this field. Frutarom intends to make the most of its global sales and marketing infrastructure in leveraging and realizing the many cross-selling opportunities generated by this acquisition by expanding the customer base and the product portfolio as well.”
Wiberg generated sales of approximately $172 million during 2015, with adjusted EBITDA of about $19 million. Frutarom said the acquisition of Wiberg is its largest, and comes on the heels of the acquisition of Grow Company Inc. in mid-January. Grow Co. provides natural ingredients to dietary supplement, natural remedy, functional foods, cosmetic and flavors companies.
