IFF to expand flavors empire with acquisition of David Michael & Co

12-Sep-2016 - Last updated on 13-Sep-2016 at 15:26 GMT

Flavors giant International Flavors & Fragrances Inc (IFF) has struck a deal to acquire David Michael & Co, a privately-held flavors company based in Philadelphia, PA, for an undisclosed sum.

Founded in 1896, David Michael is best-known for its vanilla expertise, its strength in dairy and beverage categories, and its relationships with dynamic, faster-growing middle-market customers, said IFF group president, flavors, Matthias Haeni.

“For three generations, David Michael has been a vital player in the industry, building an outstanding portfolio of capabilities and customer relationships. Merging and leveraging the strengths of both IFF-Ottens Flavors, acquired in 2015, and David Michael, we look to further reinforce our differentiated service model in the US for middle-market customers, focused on innovation, agility, and enhanced collaboration."

The deal - which is expected to close in the fourth quarter of 2016 - is expected to add approximately $85m in revenue to IFF in fiscal year 2017.

David Michael & Co has facilities in Philadelphia, California, Paris, Mexico and China; while IFF - which is based in New York - is the third largest flavors and fragrances business in the world behind Givaudan and Firmenich.