CRANBURY, N.J., Aug. 28, 2017 /PRNewswire/ -- Innophos Holdings, Inc. (NASDAQ: IPHS) announced today that it has completed the acquisition of Novel Ingredients, previously announced on August 1, 2017. The addition of Novel Ingredients advances Innophos' Vision 2022 strategy by growing Innophos' Food, Health and Nutrition (FHN) portfolio, expanding its presence in high-growth nutrition end-markets and positioning the Company to more effectively develop innovative ingredient solutions that better serve its customers.
"Today is a significant day in Innophos' history," said Kim Ann Mink, Ph.D., Chairman, President and Chief Executive Officer of Innophos Holdings, Inc. "We are delighted to welcome Novel into the Innophos family. This strategic combination creates a $0.5 billion Food, Health and Nutrition platform that represents 60% of revenue for the combined Company. Our position as a market-leading provider of vital ingredient solutions to high growth FHN market segments is strengthened through our combined innovative technology capabilities; a broader and deeper product portfolio; and the addition of Novel's experienced and dedicated people. In addition, by coming together with Novel, we more closely align Innophos with important consumer mega-trends such as health and wellness, energized aging and clean labels.
"We are confident that this acquisition will create significant long-term value for our shareholders and customers, alike. We are excited to begin focusing on the many opportunities before us. This includes leveraging our strengths as a combined company to broaden our range of science-based solutions for our customers, while delivering synergies to realize the full value of this combination."
Under the terms of the merger agreement, Innophos has acquired all of the outstanding shares of Novel Ingredients for a total purchase price of $125 million (enterprise value) in cash. Innophos funded the acquisition with borrowings under its existing credit facility. The Company continues to expect the acquisition to be accretive to Innophos' earnings per share in the first year following the close of the transaction.
About the Company
Innophos is a leading international producer of specialty ingredient solutions that deliver far-reaching, versatile benefits for the food, health, nutrition and industrial markets. We leverage our expertise in the science and technology of blending and formulating phosphates, minerals, botanicals, proteins and other nutritional ingredients to help our customers offer products that are tasty, healthy, nutritious and economical. Headquartered in Cranbury, New Jersey, Innophos has manufacturing operations across the United States, in Canada, Mexico and China. For more information, please visit www.innophos.com. 'IPHS-G'
