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Symrise Buys Manheimer, Intercontinental
Posted: September 26, 2008
Symrise signed an expected agreement to take over Manheimer Fragrances. Symrise also acquired Intercontinental Fragrances earlier in the month. The move is expected to strengthen the company’s position in the air care sector and on the scented candles market in particular.
“Winning new industrial and retail partners will strengthen our market position in North America and accelerate our growth," said Klaus Stanzl, president Scent & Care, North America, Symrise. "The synergies of these two companies will make Symrise one of the leading North American suppliers of air care fragrances. Furthermore, having a larger portfolio of certified organic and fair-trade ingredients will help us meet our customers' growing demand worldwide for sustainable products."
In 2007, Intercontinental Fragrances generated sales of $16 million, while Manheimer Fragrances posted sales of $40 million. The Natural Products business of Kerry Ingredients and Flavours is not part of this transaction and will continue as normal under Kerry ownership.
The Manheimer transaction is subject to the approval of the anti-trust authorities. The anticipated combined consideration for the transactions, which is partially contingent on the attainment of certain milestones, will be $100 million. In 2008, the acquisitions will add $12 million dollars to group sales, assuming closure of the Manheimer transaction toward the end of October. After integration costs are taken into account, the Group EBITDA will not be materially impacted this year, but earnings will be enhanced in 2009. Integration will be completed in the first half of 2009.