The acquisition also extends Tate & Lyle’s presence in the fast-growing Asia Pacific region with dedicated stevia production and research and development facilities located in Anji, China.
Tate & Lyle began its partnership with SGF in 2017 when it became the exclusive global distributor of SGF’s portfolio of stevia-based ingredients. The company then acquired a 15% equity holding in SGF the following year.
In 2019, the two companies teamed up to launch ZOLESSE, a glucosylated stevia extract that modifies the taste of stevia extracts and can be labeled as a natural flavor on package.
SGF revenue for the year ending Dec. 31, 2020, is expected to be around US$50m, including revenue for products Tate & Lyle currently sells as distribution agent.
Demand for stevia has grown exponentially as consumers continue to seek out food and beverage products that are lower in calories and sugar. According to Mintel, globally, from 2015 to 2019, product launches that contain stevia grew by a CAGR of 15%.
In line with the global growth and demand for stevia, Tate & Lyle’s stevia revenues grew by 23% the year ended March 31, 2020.
“This acquisition supports our strategy to grow our sweetener solutions portfolio and our purpose of Improving Lives for Generations by helping us to deliver tasty food and beverages with less sugar to consumers worldwide,” said Nick Hampton, chief executive, Tate & Lyle.
Dean Francis, chief executive, Sweet Green Fields, added: "Tate & Lyle, with its global customer reach, innovation focus, and strong sweetener portfolio, is the ideal company to take Sweet Green Fields forward, supporting food and beverage customers across the globe and enabling healthier consumer diets.”