Press release -
Chr. Hansen to acquire Nutritional Physiology Company and expand its business in probiotics to the livestock industry
Demand for natural solutions that advance health and productivity in the livestock industry is on the rise and the expected growth for microbial solutions in this industry is 7-9%. At Chr. Hansen, the animal health and nutrition business supplies probiotics to various customers in the global livestock industry. Through the acquisition of US-based Nutritional Physiology Company (NPC), Chr. Hansen will further broaden this microbial platform and expands its presence into the beef cattle segment.
NPC, founded in 1993 and headquartered in Overland Park, Kansas, is a leading supplier of probiotic products to beef cattle. Key products include Bovamine®, Bovamine Defend®, Bovamine® Dairy, and PoultriMax® all proven to improve gut health, maximize the energy capture and aid the natural immune system in livestock and poultry.
Cees de Jong, CEO of Chr. Hansen Holding A/S, says:“One of the ambitions in our Nature’s No. 1™ strategy is to expand our current business within microbial solutions for animal health. Through this acquisition we create a broader platform in probiotics that help farmers improve productivity and health through natural means. I am therefore very pleased to announce the acquisition of NPC and I look forward to welcoming its 52 employees to Chr. Hansen. Together we will pursue future growth within microbial solutions to the livestock industry”.
The strong strategic fit between Chr. Hansen’s animal health business and NPC provides attractive opportunities for synergies within sales, including cross-selling, supply chain improvements and innovation. These synergies are expected to be achieved in the coming two years.
The total price of the acquisition is USD 185 million and will be funded through Chr. Hansen’s own cash holding and current credit facilities.
The acquisition of NPC is subject to customary closing conditions, including applicable regulatory approvals. Closing is expected during the first quarter of 2016.
For further information, please contact:
Klara Halkjaer, Head of Media Relations
Tel: +45 53 39 23 62
David Carpenter, Group Vice President and President, Chr. Hansen, Inc. Americas
Tel: +1 (414) 559-9916
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Nutritional Physiology Company (NPC) facts:
- 2015 Revenue USD 41m
- 2015 EBITDA USD 10m
- 52 employees
- Founded in 1993
- Acquired by Halifax Partners in 2008
- Headquartered in Overland Park, Kansas
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Chr. Hansen is a global bioscience company that develops natural ingredient solutions for the food, nutritional, pharmaceutical and agricultural industries. The products include cultures, enzymes, probiotics and natural colors, and all solutions are based on strong research and development competencies coupled with significant technology investments. Revenue in the 2014/15 financial year was EUR 859 million. It has more than 2,500 dedicated employees in over 30 countries and main production facilities in Denmark, France, USA and Germany. Chr. Hansen was founded in 1874 and is listed on NASDAQ OMX Copenhagen.
