Demand for natural solutions that advance health and productivity in the livestock industry is on the rise and the expected growth for microbial solutions in this industry is 7-9%. At Chr. Hansen, the animal health and nutrition business supplies probiotics to various customers in the global livestock industry. Through the acquisition of US-based Nutritional Physiology Company (NPC), Chr. Hansen will further broaden this microbial platform and expands its presence into the beef cattle segment.
NPC, founded in 1993 and headquartered in Overland Park, Kansas, is a leading supplier of probiotic products to beef cattle. Key products include Bovamine®, Bovamine Defend®, Bovamine® Dairy, and PoultriMax® all proven to improve gut health, maximize the energy capture and aid the natural immune system in livestock and poultry.
Cees de Jong, CEO of Chr. Hansen Holding A/S, says:“One of the ambitions in our Nature’s No. 1™ strategy is to expand our current business within microbial solutions for animal health. Through this acquisition we create a broader platform in probiotics that help farmers improve productivity and health through natural means. I am therefore very pleased to announce the acquisition of NPC and I look forward to welcoming its 52 employees to Chr. Hansen. Together we will pursue future growth within microbial solutions to the livestock industry”.
The strong strategic fit between Chr. Hansen’s animal health business and NPC provides attractive opportunities for synergies within sales, including cross-selling, supply chain improvements and innovation. These synergies are expected to be achieved in the coming two years.
The total price of the acquisition is USD 185 million and will be funded through Chr. Hansen’s own cash holding and current credit facilities.
The acquisition of NPC is subject to customary closing conditions, including applicable regulatory approvals. Closing is expected during the first quarter of 2016.
For further information, please contact:
Klara Halkjaer, Head of Media Relations
Tel: +45 53 39 23 62
David Carpenter, Group Vice President and President, Chr. Hansen, Inc. Americas
Tel: +1 (414) 559-9916
Nutritional Physiology Company (NPC) facts:
- 2015 Revenue USD 41m
- 2015 EBITDA USD 10m
- 52 employees
- Founded in 1993
- Acquired by Halifax Partners in 2008
- Headquartered in Overland Park, Kansas
Chr. Hansen is a global, differentiated bioscience company that develops natural ingredient solutions for the food, nutritional, pharmaceutical and agricultural industries. At Chr. Hansen we are uniquely positioned to drive positive change through microbial solutions. We have worked for over 145 years to enable sustainable agriculture, cleaner labels and healthier living for more people around the world. Our microbial and fermentation technology platforms, including our broad and relevant collection of around 40,000 microbial strains, have game-changing potential. Matching customer needs and global trends we continue to unlock the power of good bacteria to respond to global challenges such as food waste, global health and the overuse of antibiotics and pesticides. As the world’s most sustainable biotech company, we touch the lives of more than 1 billion people every day. Driven by our legacy of innovation and curiosity to pioneer science, our purpose – To grow a better world. Naturally. – is at the heart of everything we do.