Chr. Hansen to focus on cultures & colours

 IN LINE with its strategy to optimise its business portfolio and to focus on core areas, cultures and colours major Chr. Hansen has agreed to sell the majority of its functional blends activities, including a production plant in Italy, to Frutarom Industries Ltd for €25 million. The transaction, which remains subject to normal closing conditions, is expected to be completed in the fourth quarter of the financial year 2010/11.

Frutarom is a global flavour and fine ingredients company ranked amongst the ten leading companies in the field and demonstrating strong growth within functional blends.

"Our decision to sell these activities is in line with Chr. Hansen's overall strategy to continuously optimise our business portfolio and to focus on and invest in areas where we already have - or can grow into - leading positions. By reducing complexity, the divesture will enable us to focus even more on building a strong global platform in the meat ingredients business with dedicated focus on meat cultures and natural colours," explains Carsten Hellmann, executive vice president, Global Sales.

The transaction, which includes 45 employees from Parma and other parts of Chr. Hansen's European organisation, is not expected to have a significant impact on the result for the year.