Cargill to expand its global pectin business and acquire FMC’s pectin operations
Acquisition strengthens Cargill’s texturizing portfolio to meet growing demand for label-friendly food ingredients
MECHELEN, Belgium, August 10, 2015 – Cargill has signed an agreement with FMC (FMC: NYSE) to acquire its pectin operations, including a production site in Milazzo, Sicily (Italy).
Pectin is a key component of Cargill’s texturizing portfolio and the company is keen to further develop its offering. “We took this step so we can provide food companies around the world with a strong supply of high quality pectin available; a ‘label-friendly’ food ingredient for which we see a clear growing demand,” says Colleen May, president of Cargill’s texturizing solutions business. “With a direct access to fresh citrus peel, the facility is ideally located. It will be a perfect addition to our existing network of facilities in Europe and complement our supply chain.
The Milazzo plant is a highly specialized pectin production facility located in the middle of the citrus orchards near the Tyrrhenian Sea in Sicily. Since 1990 the facility produces high quality HM (high methoxyl) pectin, running primarily on fresh peel. The site comprises fresh peel washing and drying equipment, a pectin production line, dry peel storage silos and a quality control laboratory. It is operated by an experienced team with an outstanding processing and safety record.
Frank Monmont, EMEA regional director of Cargill’s texturizing solutions business explains: “This acquisition underlines our commitment to drive distinctive value for our stakeholders. We intend to further develop the relationship with the local lemon processing companies, ultimately to the benefit of our customers, who seek reliable partners to meet their growing pectin demand”.
The transaction is subject to regulatory approvals and is expected to close in the next few months.
Louis de Schorlemer, +32 15 401 636, [email protected]
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Cargill provides food, agriculture, financial and industrial products and services to the world. Together with farmers, customers, governments and communities, we help people thrive by applying our insights and 150 years of experience. We have 153,000 employees in 67 countries who are committed to feeding the world in a responsible way, reducing environmental impact and improving the communities where we live and work. For more information, visit Cargill.com and our News Center.
Cargill Texturizing Solutions
Cargill’s texturizing solutions business specializes in the production of texturizing ingredients that link the core food-building blocks (proteins, lipids, carbohydrates and water) into finished foods and beverages. Our nature-derived ingredients portfolio is comprised of extracts from major crops (starches, soy proteins and lecithins), seaweeds (carrageenans and alginates), fruits (pectins and locust bean gum) and sugar fermentation (xanthan gum). These specialized ingredients are also applied to offerings in the personal care, pharmaceutical and industrial categories.
Through our expertise in origination, global supply chains, research and formulation, we help our customers achieve consistent product quality at an affordable price.
Our texturizing business is operational in all continents with 31 sales offices and 21 manufacturing plants (France, Germany, Morocco, the Netherlands, the United States, Brazil, China and the Philippines)