Frutarom Acquires Aromco

Frutarom Industries Ltd. has acquired 100% of Aromco Ltd. for $25 million in cash, completing its fourth flavor company acquisition since the beginning of 2011. Aromco develops, manufactures and markets flavors for the beverage, dairy, confectionery, bakery and savory markets with sales reaching $13 million in 2010. Aromco’s owner, Keith Brown, founded the acquired company in 1985 focusing on business development and penetrating into developing markets with high growth potential in Eastern Europe, Africa and Asia, as well as building a market share in the U.K. Acquiring Aromco is expected to enable Frutarom to broaden its activity and market share in these developing markets, which enjoy high growth rates, as well as to strengthen its current product supply chain. Additionally, Frutarom will utilize Aromco’s extensive innovation activities in flavor creation, development and application.