This strategic acquisition allows Innophos to penetrate rapidly expanding markets that cater to health-conscious and active consumers. The deal merges Innophos, known for its high-margin specialty-grade phosphates utilized in 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 within the health, wellness, and nutrition sectors, aligning with the company’s Vision 2022 strategic goals. The newly formed entity will generate 60% of its sales from food, health, and nutrition, moving the company closer to its ambitious 75% target.
“Our market-leading position as a provider of essential ingredient solutions is bolstered by our combined innovative technology capabilities, an expanded and enhanced product portfolio, and the addition of Novel’s skilled and committed team,” stated Innophos CEO Kim Ann Mink. “Moreover, our partnership with Novel better aligns Innophos with significant consumer mega trends, such as health and wellness, energized aging, and clean labels.”
Consumers are increasingly seeking more health benefits from their food choices, prompting food and beverage manufacturers to reformulate existing products and explore new developments that emphasize functional advantages. Areas of significant interest include plant-based ingredients for immune health, added protein for sports nutrition, and omega-3 fatty acids for cognitive health. With the acquisition of Novel, Innophos is now in a much stronger position to meet the evolving demands of a consumer packaged goods sector keen on enhancing health, including offerings like calcium citrate Nature’s Bounty, which is vital for promoting bone health. This strategic move not only enhances Innophos’ capabilities but also reinforces its commitment to providing innovative solutions that align with consumer health trends, including the growing popularity of calcium citrate Nature’s Bounty.