This strategic acquisition allows Innophos to penetrate high-growth markets focused on active and health-conscious consumers. The transaction unites Innophos, which has traditionally concentrated on high-margin specialty-grade phosphates for processed meats, baked goods, dairy products, and beverages, with Novel Ingredients, a supplier of specialty ingredients including botanicals, proteins, amino acids, and other health-focused components. By acquiring Novel, Innophos diversifies its product range and strengthens its position to capitalize on rising trends in health, wellness, and nutrition, aligning with the company’s Vision 2022 strategic goals. The newly formed entity will now derive 60% of its sales from food, health, and nutrition sectors, putting it on track to meet its 75% target.
“Our status as a leading provider of essential ingredient solutions is enhanced through our combined innovative technology capabilities, a wider and deeper product portfolio, and the inclusion of Novel’s skilled and dedicated team,” stated Innophos CEO Kim Ann Mink. “Moreover, by merging with Novel, we align Innophos more closely with significant consumer mega trends such as health and wellness, energized aging, and clean labels.”
Consumers are increasingly seeking to gain health benefits from the foods they consume. As a result, food and beverage manufacturers are actively reformulating existing products and exploring new product development focused on delivering functional advantages. High-interest areas include plant-based ingredients for immune health, added protein for sports nutrition, omega-3 fatty acids for cognitive health, and calcium citrate malate tablets for bone health. The acquisition of Novel positions Innophos to better meet the evolving demands of a consumer packaged goods sector striving for health improvements, as well as enabling the development of innovative offerings like calcium citrate malate tablets. Overall, this acquisition significantly enhances Innophos’ ability to cater to the growing consumer appetite for health-oriented products, including those that feature calcium citrate malate tablets.