DSM completes acquisition of Ocean Nutrition Canada and expands its Nutritional Lipids growth platform
(Thomson Reuters ONE) -
Royal DSM, the global Life Sciences and Materials Sciences company, announced
today that it has successfully completed the acquisition of Ocean Nutrition
Canada, the leading global provider of fish-oil derived nutritional products to
the dietary supplement and food and beverage markets. The acquisition, announced
on 18 May 2012, strengthens and complements DSM's newly established, global
Nutritional Lipids growth platform. The acquisition, for a total enterprise
value of CAD 540 million, is expected to be EPS accretive from 2013 onwards.
Feike Sijbesma, CEO and Chairman of the DSM Managing Board, said: "With the
completion of this transaction we have now completed ?1.7 billion worth of
growth enhancing acquisitions since we embarked on our current strategic plan
less than two years ago, including nearly ?1.3 billion in the Nutrition cluster,
as we continue to further improve our attractive portfolio in health, nutrition
and materials to deliver shareholder value with stronger, more stable growth and
profitability. After our successful acquisition of Martek in 2011, the
acquisition of Ocean Nutrition Canada is the logical next step in developing our
Nutritional Lipids into a major growth platform for our Nutrition cluster."
Leendert Staal, President and CEO of DSM Nutritional Products, commented:
"Having completed the acquisition in a timeframe of only two months, we are very
pleased to welcome all employees of Ocean Nutrition Canada to DSM today and I
look forward to developing this exciting opportunity together. Our attention is
now fully focused on ensuring a smooth integration of the business in a timely
and efficient manner. Business continuity and customer satisfaction will remain
key priorities for us as we focus on future synergy generation between both
businesses."
Strategic rationale
With the acquisition of Ocean Nutrition Canada, DSM strengthens and complements
its Nutritional Lipids growth platform, which was established after the
acquisition of Martek in 2011. DSM can now uniquely offer a full range of
products in the rapidly growing nutritional lipids category, offering both fish
oil derived omega-3 fatty acids and microbially derived nutritional lipids.
The nutritional lipids category is at an early stage yet well established and is
based on strong science, offering significant growth opportunities across a
broad range of market segments and applications. Healthy nutritional lipids have
been shown in a growing body of scientific evidence to provide significant
health benefits and support brain, eye, and cardiovascular health throughout
life, yet many consumers do not include enough in their daily diets because
dietary sources are limited. In particular, leading experts have noted the
important health benefits of omega-3 fatty acids, a specific class of
nutritional lipids.
DHA (docosahexaenoic acid), is an omega-3 fatty acid abundant in the brain and
retina and important to supporting brain health throughout life. EPA
(eicosapentaenoic acid) is also an omega-3 fatty acid important for human
health. Together, EPA and DHA have been identified as important to supporting
cardiovascular health throughout life.
Ocean Nutrition Canada is the leading provider of fish-derived DHA and EPA
omega-3 with its MEG-3(®) product line. DSM is the leading provider of microbial
DHA from algae with its life'sDHA(TM) product line.
Also part of the DSM portfolio is life'sARA(TM), a microbially derived
nutritional lipid called ARA (arachidonic acid). ARA is an omega-6 fatty acid
and the principal omega-6 in the brain. Like DHA, ARA is important for proper
brain development in infants.
Given the very different value proposition and pricing of fish oil derived
omega-3s compared to microbial derived nutritional lipids, these products do not
compete. In fact, Ocean Nutrition Canada's fish derived omega-3 products are
highly complementary to DSM's existing microbially derived nutritional lipid
products as they address different customer needs and reach different market
segments.
The acquisition allows DSM to strengthen and complement its newly established,
global Nutritional Lipids growth platform. It strengthens DSM's position in the
North American dietary supplement market by adding fish-oil derived omega-3
fatty acids to its portfolio and it allows DSM to further leverage its global
infrastructure to expand Ocean Nutrition Canada's sales in dietary supplement
markets outside North America and in the food and beverage markets worldwide. In
addition, by leveraging forms, encapsulation and emulsification technologies,
the range of applications and products can be expanded.
DSM expects the transaction to be EPS accretive from 2013 onwards. The
acquisition is expected to accelerate revenue growth through material revenue
synergies with expanded distribution, marketing and product development.
Customary operational efficiencies will also be realized in the integration
process.
The acquisition of Ocean Nutrition Canada is the fifth acquisition in the
Nutrition cluster since DSM in September 2010 announced its corporate strategy
DSM in motion: driving focused growth. These acquisitions form an integral part
of DSM's strategy for its Nutrition cluster and will contribute to the current
and future growth of DSM's attractive portfolio in health, nutrition and
materials. The resulting stronger, more stable growth and profitability will
enable DSM to continue to deliver shareholder value.
Ocean Nutrition Canada
Founded in 1997, Ocean Nutrition Canada is a Canada-based supplier of fish-oil
derived omega-3 fatty acids (EPA and DHA) to the dietary supplement and food and
beverage markets. The company is headquartered in Halifax (Nova Scotia, Canada)
with approximately 415 employees and has production sites in Canada, the United
States and Peru. Every day over 21 million servings of its MEG-3(®) product line
are consumed in supplements and foods and beverages across the world. Net sales
for 2012 are expected to be approximately CAD 190 million with an EBITDA of CAD
55-60 million. The average annual growth of the company over the past 5 years in
local currency amounted to nearly 20%.
DSM - Bright Science. Brighter Living.(TM)
Royal DSM is a global science-based company active in health, nutrition and
materials. By connecting its unique competences in Life Sciences and Materials
Sciences DSM is driving economic prosperity, environmental progress and social
advances to create sustainable value for all stakeholders. DSM delivers
innovative solutions that nourish, protect and improve performance in global
markets such as food and dietary supplements, personal care, feed,
pharmaceuticals, medical devices, automotive, paints, electrical and
electronics, life protection, alternative energy and bio-based materials. DSM's
22,000 employees deliver annual net sales of around ?9 billion. The company is
listed on NYSE Euronext. More information can be found at www.dsm.com.
For more information:
DSM Corporate Communications DSM Investor Relations
Herman Betten Dave Huizing
tel. +31 (0) 45 5782017 tel. +31 (0) 45 5782864
fax +31 (0) 45 5740680 fax +31 (0) 10 4590275
e-mail media.relations(at)dsm.com e-mail investor.relations(at)dsm.com
Press release-pdf:
http://hugin.info/130663/R/1627853/521091.pdf
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originality of the information contained therein.
Source: DSM N.V. via Thomson Reuters ONE
[HUG#1627853]
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Datum: 19.07.2012 - 08:16 Uhr
Sprache: Deutsch
News-ID 166769
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