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History

Established in 1933, Frutarom Palestine Ltd., as it was initially known, combined the cultivation of aromatic plants and flowers with the extraction and distillation of flavors, fine ingredients and essential oils. The company's foundation was promoted by Professor Haim Weizman, the first President of the State of Israel and a known chemist.

 

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 In 1952, the Company's assets were purchased by Electrochemical Industries  (1952) Ltd. ("EIL"), an Israel-based industrial chemicals manufacturer, resulting in Frutarom becoming a division of EIL. In 1973, ICC Industries, an international industrial holding company based in the United States, acquired ownership of EIL. In May 1996, the Company was spun off from EIL, becoming a public company listed on the TASE. ICC Industries remained its controlling shareholder following the spin off. The Company was added to the TA100 Index of the TASE on 1 January, 2003 and in 2005 became listed on the London Stock Exchange.

 

During the mid-1980s, Frutarom came under new management and adopted a strategy aimed at increasing the Company's operations worldwide, in order to become a major multinational flavor and fine ingredients company.  In the late 1980s, Frutarom made a strategic decision to expand its growth through acquisitions.

 

In 2006 Frutarom achieved an impressive milestone and became one of the 10 largest global flavor & fragrance companies.

 

Frutarom has grown dramatically, organically and via key acquisitions

 

Frutarom made three acquisitions in the early 1990s, in the U.S., U.K. and Israel. In 1993, Frutarom made its first substantial strategic acquisition by acquiring Meer Corporation in the U.S., a producer of botanical extracts and natural gums, providing Frutarom with a foothold in the United States. Between 1997 and 1998, Frutarom made a strategic decision to penetrate several emerging markets and established local subsidiaries. Today Frutarom has local subsidiaries in: China, Russia, Ukraine, Belarus, Romania, Turkey, Kazakhstan and Mexico.

 

 

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From 1999 to the present day, Frutarom has continued to execute its strategy of acquisition-led growth by acquiring companies and businesses that complement and enhance the Company's core business activities, as well as continuing its focus on internal growth. Frutarom's business acquisitions criteria support its vision to be "The Preferred Partner for Tasty and Healthy success", through the unique position of combining great taste and healthy, innovative, comprehensive solutions.  

 

Acquisitions during this period included: 

  • Baltimore Spice Israel Ltd (Israel, 1999),an active producer and vendor of seasonings and seasoning compounds;
  • The Business of CPL Aroma Ltd (UK, Feb 2001) - the industrial flavors division of Rayner & Company;
  • Emil Flachsmann AG (Switzerland, Jun 2003) - develops, produces and markets flavors and fragrances to the food industry, as well as botanical extracts for the flavor, fragrance, pharmaceutical, nutraceutical and functional food industries;
  • Food Systems business in Germany and Switzerland of International Flavors & Fragrances, Inc. (Germany, Swizerland, Second half of 2004) - develops and produces unique compounds of fruit and other natural ingredients used as natural flavorings in a wide variety of food products;
  • A.M. ToddFlavor Extractsactivity(USA, 2005) that reinforced Frutarom's flavor extracts' capabilities and market leadership position, as well as assisting Frutarom's growth in the US market;
  • GewurzMuhle Nesse (Germany, 2006) an international group specializing in savory solutions founded in 1880. This acquisition served to significantly strengthen Frutarom's technological capabilities and savory offering, as well as its market position in both West and East Europe, as a leading flavors supplier. It also increased activities in additional countries where Frutarom has been less active, such as Poland, the Czech Republic, Latvia and Yugoslavia;
  • Acatris Health (Netherland and Belgium, 2006) a recognized innovative developer and supplier of natural botanical health ingredients for the dietary supplement, functional food and cosmetic industries;

 

In 2007 Frutarom made 6 strategic acquisitions, among them:

  • Belmay(UK, 2007) - leading British flavor house that develops, produces and markets flavors, with a particular focus on natural flavors for the food and beverage industry. Belmay added further subsidiaries in Singapore, Norway and Denmark, thus cementing Frutarom's position as a principal flavor house in the British market;
  • Reyhan(Israel, 2007) - develops, produces and markets flavor compounds and ingredients for the food industry;
  • Adumim Food Additives Ltd.(Israel, 2007) a developer and producer of unique fine ingredients for the food and functional food industries, responsible for instilling the final product with flavor, color, texture, a long shelf life and beneficial health qualities;
  • Gewurzmuller GmBh (Germany, 2007) - producer of unique and innovative savory solutions, including flavors, seasoning compounds and functional ingredients for the food industry, with special emphasis on processed meats and convenience foods; this acquisition included the activity of Blessing BioTech a producer of starter cultures (natural products based on microbiological processes, mainly the fermentation of microorganisms and enzymes used to manufacture food, especially meat, dairy and baked goods);
  • Abaco (USA, 2007) - develops, produces and markets unique ingredients for the flavor and fragrance industry;
  • RAD (Israel, 2007) - researches, develops, produces and sells unique natural plant extracts with anti-oxidant properties for use in food, dietary supplements and cosmetic products;

 

The growth achieved in 2007 resulted in Frutarom receiving the 2007 Frost & Sullivan award for the fastest growing company in its field.

 

As part of the company's strategic plan to create innovative, comprehensive solutions for its customers by working together closely with them, Frutarom inaugurated its new Innovation Center in 2007. 

 

From 2007 to date Frutarom has more than doubled after executing additional 16 acquisitions including:

  • Oxford Chemicals Limited (UK, 2009) - develops, produces and markets specialty ingredients for the flavor and fragrance industry;
  • Flavor Specialty (FSI) (USA, 2009) - a flavor and botanical extracts company that develops, produces and markets flavors and botanical extracts mainly for the food and beverage industry;
  • Savory assets and activities of Christian Hansen Germany (Germany, 2009) - part of Christian Hansen company that develops, produces and markets unique and innovative savory solutions including flavors, seasoning compounds and functional ingredients for the food industry, with special emphasis on processed meat and convenience food applications;
  • Savory activity of Rieber (Norway, 2010), was part of an international food group of Rieber & Son ASA that specializes in the development, production and marketing of savory flavor solutions and functional ingredients for the food industry, with special emphasis on processed meat and convenience food applications;
  • EAFI's activity and assets (UK, 2011) - develops, manufactures and markets savory solutions and functional ingredients to the food industry in general, and to the processed convenience food, snacks and processed meat and fish industries in particular;
  • Savory assets and activities of Christian Hansen Italy (Italy, 2011) - part of Christian Hansen company that develops, produces and markets unique and innovative savory solutions including flavors, seasoning compounds and functional ingredients for the food industry, with special emphasis on processed meat and convenience food applications;
  • Aromco (UK, 2011) - develops, manufactures, and markets flavors for the food and beverage industry. Aromco is mostly active in emerging markets with high growth potential in Eastern Europe, Africa and Asia as well as in the UK;
  • Flavor Systems (USA, 2011) - develops, manufactures, and markets sweet and savory flavors for the food and beverages industry.
  • Savoury Flavors (UK, 2012) - develops, manufactures, and markets savory taste solutions, including mainly flavors, seasoning compounds, marinades and sauces, specializing in snacks and convenience foods;
  • Etol (Slovenia, 2012) - develops, manufactures, and markets sweet and savory taste solutions, focusing on natural flavor products for the food and beverage industry;
  • Mylner (Brazil, 2012) - develops, manufactures and markets flavor solutions, focusing mainly on sweet flavors for beverages and baked goods, natural plant extracts and natural flavor products.
  • JannDeRee (South Africa, 2013) - develops, manufactures, and markets flavors with an emphasis on savory flavors and sweet flavor solutions.
  • Protein Technologies Ingredients group ("PTI") (Russia, 2013) - develops, manufactures and markets unique and innovative savory solutions including flavors, spice mixes and functional raw materials for the food industry (including specialty protein based raw materials it manufactures using advanced technology), with a special emphasis on processed meat and convenience foods;
  • Aroma S.A. (Guatemala, 2013) - develops, manufactures and markets flavor solutions, including mainly sweet flavors for beverages, dairy products, confectionary, snack food and convenience foods.
  • Hagelin (USA, 2013) - produces and markets flavors and unique flavor technologies for the food industry, with an emphasis on the growing area of beverage flavors;
  • CitraSource (USA, 2014) - specializes in research and development, production, marketing and sale of specialty citrus solutions to leading global customers in the flavors and aroma, food and beverages markets.
  • Montana (Peru, Chile, 2014) -  one of South America leading companies in the flavor, fine ingredients and natural colors area. Montana food division specializes in research and development, production, marketing and sales of sweet and savoury flavors as well as natural colors and other functional ingredients.

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