International Flavors & Fragrances (IFF) has acquired the Nutrition & Biosciences (N&B) business of American conglomerate DuPont in a US$26.2bn deal.
The buyout will create an industry leader in flavour creations across the personal care, food and beverage and health care markets.
The new company is predicted to generate revenue of more than $11bn, based on fiscal year 2019 estimated results, with a value of $45.5bn.
Under the terms of the agreement, IFF shareholders will own 44.6% of the combined company, while DuPont shareholders will own the remaining 55.4%.
“The combination of IFF and N&B is a pivotal moment in our journey to lead our industry as an invaluable innovation and creative partner for our customers,” said IFF Chairman and CEO Andreas Fibig.
“Together, we will create a leading ingredients and solutions provider with a broader set of capabilities to meet our customers’ evolving needs.
“With highly complementary portfolios, we will have global scale and leading positions in key growth categories to capitalise on positive market trends, drive strong profitable growth for our shareholders and create opportunities for our employees.”
The new company’s Board of Directors will be made up of 13 directors, consisting of seven current IFF directors and six newly appointed DuPont directors.
Fibig will continue to serve as Chairman of the Board and CEO. Meanwhile, DuPont’s Chairman, Ed Breen, will join the business as Lead Independent Director.
