DSM buys food ingredients firm

Netherlands speciality chemical maker DSM has struck a deal to buy Fortitech, a privately owned US food ingredients company, for $634 million (£400 million).

Fortitech employs 520 people and has six production sites spread across the US, Brazil, Malaysia, Denmark and Poland. The company is expecting sales of $270 million for 2013 from its ingredient blends for the food and drink, infant nutrition and dietary supplements industries.

DSM says that the move will accelerate its transition to a ‘full solutions provider in food ingredient blends’, by expanding its ‘value chain presence, while adding additional capabilities to its business’.

It has put €2.8 billion (£2.2 billion) into acquisitions in the last two years, of which €2.4 billion (comprising nine deals) has gone into the nutrition products business.