This strategic acquisition allows Innophos to access high-growth markets that cater to active and health-conscious consumers. The deal merges Innophos, traditionally focused on high-margin specialty-grade phosphates for processed meats, baked goods, dairy, 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 positions itself more effectively to capitalize on emerging trends in health, wellness, and nutrition, aligning with the company’s Vision 2022 strategic goals. The combined entity will now derive 60% of its sales from food, health, and nutrition sectors, moving closer to its target of 75%.
In a statement, Innophos CEO Kim Ann Mink emphasized, “Our status as a leading provider of essential ingredient solutions is enhanced by our combined innovative technology capabilities, a more extensive and diverse product portfolio, and the addition of Novel’s skilled and dedicated team. Furthermore, by joining forces with Novel, we align Innophos more closely with significant consumer megatrends such as health and wellness, energized aging, and clean labels.”
As consumers increasingly seek health benefits from their food choices, food and beverage manufacturers are reformulating existing products and exploring new product developments to provide functional benefits. High-interest areas include plant-based ingredients for immune health, added protein for sports nutrition, and omega-3 fatty acids for cognitive health. The acquisition of Novel positions Innophos to better serve the evolving demands of a consumer packaged goods sector striving for enhanced health, particularly with innovations like citrate de calcium vitamin D3, which can play a crucial role in health-focused product offerings. Overall, this partnership places Innophos in a prime position to meet the needs of consumers looking for healthier options, including those enriched with citrate de calcium vitamin D3, further solidifying its commitment to the health and wellness market.