KILKENNY, IRELAND — Glanbia PLC is growing its better nutrition platforms by acquiring Flavor Producers LLC from Aroma Holding Co., LLC. for an initial consideration of $300 million plus deferred consideration, according to the company.  

Glanbia said it will operate Flavor Producers under its Glanbia Nutritionals business.

Flavor Producers, which is based in Valencia, Calif., develops and manufactures natural and organic flavors and extracts for the food and beverage industries.

“I am delighted to announce the acquisition of Flavor Producers, which represents an important step in the continued growth of our Nutritional Solutions business,” said Hugh McGuire, chief executive officer of Glanbia. “This acquisition builds on our existing flavours capability and positions us well to capture long-term growth opportunities in the organic and natural flavors segments. M&A is an important part of our growth strategy, and this transaction represents a further opportunity to scale our NS business, unlock synergies and acquire unique and complementary capabilities.” 

Glanbia said the initial consideration is $300 million with an additional deferred payment of up to $55 million conditional on performance in 2024.

The transaction is expected to close in the first half of fiscal year 2024, subject to customary closing conditions and agreed completion accounts, according to the company.