Sector News

Tate & Lyle to acquire Quantum Hi-Tech for $237m

March 31, 2022
Consumer Packaged Goods

Tate & Lyle has signed an agreement to acquire Quantum Hi-Tech (Guangdong) Biological, a prebiotic dietary fibre business in China, from ChemPartner Pharmatech for $237 million.

Quantum focuses on digestive microbiota health, engaging in the research, development, production and sale of fructooligosaccharides (FOS) and galactooligosaccharides (GOS) in Guangdong Province, Southern China.

The acquisition will strengthen Tate & Lyle’s position in the dietary fibres market, enhancing its portfolio of speciality fibres, R&D capabilities and proprietary manufacturing processes and technologies. It will help Tate & Lyle expand its added-fibre offerings across a range of applications such as dairy, beverages, bakery and nutrition (including infant nutrition).

In addition, the purchase will expand Tate & Lyle’s presence in China and Asia and provide opportunities to create solutions for the region.

Nick Hampton, chief executive at Tate & Lyle, said: “We are delighted to announce the agreement to acquire Quantum, a leader in prebiotic dietary fibres and a business recognised for its high-quality ingredients and solutions. This acquisition significantly strengthens our fortification capabilities and expands our customer offering in key food and drink categories.”

He continued: “FOS and GOS are highly complementary to our existing fibre portfolio and will enable us to offer a broader range of solutions to our customers. The acquisition is also very much in line with our purpose to support healthy living by improving gut health, and driving sugar and calorie reduction and fibre fortification for consumers across the world.”

Zeng Xianwei, chairman of the board of ChemPartner, added: “We are proud of the Quantum business we have built over the last 20 years, providing high-quality products to support healthier living for people across China and beyond. Tate & Lyle, with its global customer reach, strong focus on R&D, and strong fibre portfolio, is the ideal company to take Quantum to the next stage of its development. I wish them and the management team at Quantum success in the future.”

The transaction is subject to approval by the shareholders of ChemPartner and is expected to close in the second quarter of 2022.

By Sian Yates

Source: foodbev.com

comments closed

Related News

February 25, 2024

The Body Shop faces store closures, layoffs and ingredient surplus after Aurelius acquisition

Consumer Packaged Goods

Recent reports reveal The Body Shop will shut up to half of its 198 stores in the UK and cut the size of its head office, incurring hundreds of job losses. According to the firm overseeing the restructuring of the beauty retailer, closures will begin this Tuesday.

February 25, 2024

Kroger and Albertsons face lawsuits to block $24.6bn merger – Bloomberg

Consumer Packaged Goods

Amidst brewing tensions, the US Federal Trade Commission (FTC) and a coalition of states are poised to take legal action as early as next week, aiming to prevent grocery giant Kroger’s $24.6 billion acquisition bid for Albertsons, Bloomberg reported.

February 25, 2024

Diageo reportedly in talks to offload trio of brands, including Pimm’s

Consumer Packaged Goods

The owner of Guinness and Baileys has hired financial service group Rothschild to explore the sale, which includes Pimm’s, fruit liqueur brand Safari and Pampero rum. Each brand could be offloaded individually or as a three, according to Sky News.

How can we help you?

We're easy to reach