Sector News

Ajinomoto buys majority stake in Spanish agro-business

October 18, 2017
Consumer Packaged Goods

Japanese food and chemical corporation Ajinomoto has acquired the majority shares of a Spanish agro-business, expanding its profile in Europe.

Through its consolidated subsidiary S.A. Ajinomoto OmniChem N.V. in Belgium, the company has signed a share purchase agreement of majority shares of Agro2Agri SL which has agro-business subsidiaries in Spain with Dadelos SL its sole shareholder of A2A.

Ajinomoto OmniChem (AOC) aims to grow its agro-business through entering into the rapidly growing new agriculture market on a full-scale especially in Europe and increase its related sales to €60 million (US$705 million) by 2020.

A2A specialized in the production and marketing of biostimulant products mainly based on amino acids in more than 50 countries worldwide, has several subsidiaries both in B2B business to produce and supply raw materials for agrochemical and fertilizer
companies and concentrates on marketing and sales.

It has experienced double-digit growth annually over the last five years with its strength of product development capability.

Agro natural compound of ingredients such as amino acids and other ingredients through microbial fermentation and natural ingredients including natural extracts that are used to improve immunity inherent in plants and promote plant growth.

The global biostimulants market was valued at US$1,6 million in 2014 and is projected to reach US$3.49 million by 2020 at a CAGR of 14.1 percent from 2015 onwards due to heightening awareness about reducing the environmental burden in agriculture.

The European market accounts for about 40 percent of the total market and is projected to reach US$1.4 million by 2020.

Established in 1778, AOC mainly manufactures and sells pharmaceutical intermediates and APIs globally. Its agro-business produces and sells surfactants in more than 60 countries as ingredients of agrochemical and fertilizer under the brand name Tensiofix.

“By the majority share acquisition this time, Ajinomoto Co will expand its agro-business more rapidly by entering into the fast-growing area of biostimulants on a full-scale and taking advantage of the strengths of AOC and A2A such as joint development of new products and new customers, and proceed with the establishment of specialities in the agro-business in Europe as well as increase its related sales in Europe to €60 million, by by 2020,” says Ajinomoto.

The Ajinomoto Group aims to realize a “genuine global specialty company” through the “food and AminoScience business” by contributing to human, animal and plant nutrition under the corporate message of “Eat Well, Live Well.”

Source: Food Ingredients First

comments closed

Related News

July 14, 2024

ADM appoints Monish Patolawala as EVP and CFO

Consumer Packaged Goods

ADM has announced the appointment of Monish Patolawala as its new executive vice president and chief financial officer, effective 1 August 2024. Patolawala, who brings over 25 years of experience in managing global finance and technology teams, will succeed Ismael Roig. Roig has been serving as ADM’s interim CFO since January.

July 14, 2024

Carlsberg to acquire Britvic for £3.28BN in UK soft drinks expansion

Consumer Packaged Goods

UK Pepsi bottler and soft drinks maker Britvic has agreed to a takeover bid of £3.28 billion (US$4.2 billion) from Carlsberg. The move is expected to allow the Danish brewer to expand its drinks bottling operations in the UK and beyond beer.

July 14, 2024

Unilever to slash a third of European workforce

Consumer Packaged Goods

Unilever plans to cut a third of its office-based roles in Europe by the end of 2025, the consumer goods giant has said. It comes after it announced in March that it would be cutting costs, affecting about 7,500 roles globally. The firm said it would begin a consultation process with those affected by cuts in Europe, with about 3,200 jobs being axed in the region.

How can we help you?

We're easy to reach