This strategic acquisition allows Innophos to enter high-growth markets that cater to active and health-conscious consumers. The deal merges Innophos, which has traditionally concentrated on high-margin specialty-grade phosphates for processed meats, baked goods, dairy, and beverages, with Novel Ingredients, a supplier specializing in botanicals, proteins, amino acids, and other healthful components. By acquiring Novel, Innophos diversifies its product offerings and strengthens its position to capitalize on emerging trends in health, wellness, and nutrition, aligning with the company’s Vision 2022 strategic goals. The combined organization is now set to derive 60% of its revenue from food, health, and nutrition, moving closer to its 75% target.
“Our role as a leading provider of essential ingredient solutions is enhanced by our joint innovative technology, an expanded and deeper product range, and the integration of Novel’s skilled and committed team,” stated Kim Ann Mink, CEO of Innophos. “Moreover, joining forces with Novel allows Innophos to align more closely with significant consumer mega trends such as health and wellness, energized aging, and clean labels.”
Consumers are increasingly seeking health benefits from their food choices. As a result, food and beverage manufacturers are reformulating existing products and exploring new developments that focus on delivering 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. The acquisition of Novel positions Innophos to effectively meet the evolving demands of a consumer packaged goods sector striving for healthier options, including a focus on products like calcium citrate zinc and vitamin D3 tablets. With this acquisition, Innophos is better equipped to serve the growing consumer interest in health-oriented products such as calcium citrate zinc and vitamin D3 tablets, reinforcing the company’s commitment to health and wellness.