Givaudan expands into natural colours with acquisition of US business DDW
DDW Natural Colours has been acquired by Givaudan (pic DDW)
Swiss flavours and fragrance firm Givaudan has struck a deal to acquire US-based natural colour company DDW, as part of its broader growth strategy for its Taste & Wellbeing business, writes Neill Barston.
As the global enterprise explained, its latest purchase for an undisclosed sum, will enable it to become a global segment leader, enhancing its ability to create “Feel Good” Food Experiences through its expanded portfolio of industry solutions, including its confectionery and bakery series.
Headquartered in Louisville, Kentucky, US, DDW is an established privately-held company in the natural colour industry, with 12 manufacturing facilities around the world and 315 associates.
Founded in 1865, the business has developed a strong market position from its origins in the brewing industry through its market leading capabilities in caramel colours and for the last 20 years having a strong focus on natural colours for the food and beverage industry. Its wide range of application specialisms include developing products for use within confections and bakery series.
Louie D’Amico, President of Taste & Wellbeing at Givaudan said: “I am excited about the opportunity to bring together the strong heritage and capabilities of DDW in natural colours with Givaudan’s expanded portfolio, which is fully in line with our 2025 strategy. The combination of both companies will enable us to become a global leader in natural colours and strengthen our ability to create with our customers multi-sensorial food experiences consumers love. We look forward to welcoming the DDW employees to the Givaudan family.”
“I am very proud of all that DDW has accomplished throughout its more than 150 years as a privately held company and we are confident that we will continue to flourish as part of Givaudan”, said DDW’s chairman Ted Nixon. “We believe that we have a strong set of shared purpose and values with Givaudan and that this transaction represents a very positive step for DDW’s customers and associates.” The terms of the deal have not been disclosed and Givaudan plans to debt fund the transaction. DDW’s business would have represented approximately USD 140 million of incremental sales to Givaudan’s results in 2020 on a proforma basis. The transaction is expected to close in Q4 2021.