dsm-firmenich to sell MEG-3® fish oil business to KD Pharma Group
KAISERAUGST, Switzerland and MAASTRICHT, Netherlands, July 18, 2024 /PRNewswire/ -- dsm-firmenich, innovators in nutrition, health, and beauty, today announces the sale of its MEG-3® fish oil business ("MEG-3 business") to KD Pharma Group SA ("KD Pharma"), a contract development and manufacturing organization (CDMO) active in pharmaceutical and nutritional lipids. As part of the transaction, dsm-firmenich will obtain a minority stake of 29% in KD Pharma's parent company O³ Holding GmbH.
Following its strategic portfolio review, as announced on June 3, dsm-firmenich decided to de-prioritize certain business segments, including the MEG-3 business. This will allow dsm-firmenich to focus its lipids activities on its unique algae-based Omega-3 portfolio, while continuing to offer MEG-3 fish oils for the Early Life Nutrition markets as well as MEG-3 powders.
The transaction includes dsm-firmenich's MEG-3 business for the Food & Beverage, Dietary Supplement and Pharma markets, together with the production facilities in Piura, Peru and Mulgrave, Canada. The MEG-3 business represented approximately €170 million sales in 2023, with approximately 200 employees who will transfer to KD Pharma.
This transaction is expected to be completed towards the end of 2024, and is subject to customary regulatory approvals.
About dsm-firmenich
As innovators in nutrition, health, and beauty, dsm-firmenich reinvents, manufactures, and combines vital nutrients, flavors, and fragrances for the world's growing population to thrive. With our comprehensive range of solutions, with natural and renewable ingredients and renowned science and technology capabilities, we work to create what is essential for life, desirable for consumers, and more sustainable for the planet. dsm-firmenich is a Swiss-Dutch company, listed on the Euronext Amsterdam, with operations in almost 60 countries and revenues of more than €12 billion. With a diverse, worldwide team of nearly 30,000 employees, we bring progress to life™ every day, everywhere, for billions of people.
About KD Pharma
The KD Pharma Group is a CDMO that develops products in the pharmaceutical and nutraceutical space. It is also the worldwide leading producer of API for Omega-3 pharmaceuticals and has built a similar market-leading position in Omega-3 nutraceuticals, formulation and encapsulation services, with over 500 employees and a presence in the UK, Norway, Germany, Switzerland and the US. The KD Pharma Group employs state-of-the-art technology which is protected by numerous patents. Visit www.kdpharmagroup.com to learn more.
For more information
Media relations
Robin Roothans
tel. +41 (0)79 280 03 96
e-mail media@dsm-firmenich.com
Investor relations
Dave Huizing
tel. +31 (0)88 425 7306
e-mail investors@dsm-firmenich.com
Forward-looking statements
This press release may contain forward-looking statements with respect to dsm-firmenich's future (financial) performance and position. Such statements are based on current expectations, estimates and projections of dsm-firmenich and information currently available to the company. dsm-firmenich cautions readers that such statements involve certain risks and uncertainties that are difficult to predict and therefore it should be understood that many factors can cause actual performance and position to differ materially from these statements. dsm-firmenich has no obligation to update the statements contained in this press release, unless required by law. The English language version of the press release is leading.
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