01 May 2019 | News
Firmenich to acquire a majority stake in VKL Seasoning
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Firmenich has agreed to acquire a majority stake in VKL Seasoning Pvt. Ltd, a leader in seasonings and flavors in India, from True North, an Indian private equity company. With this venture Firmenich is broadening its capabilities and customer reach in India, a key growth market for the Group, while expanding its raw material palette for clean label ingredients. Founded in 1996, VKL Seasoning Pvt. Ltd is renowned for its strong understanding of taste and its leading reputation among Indian customers.
“India is a critical market for Firmenich and we are committed to investing in our business here both for short and long-term growth,” says Patrick Firmenich, Chairman of the Board, Firmenich. “VKL and Firmenich are extremely complementary to one another and together will offer one of the broadest and most innovative portfolios available to food and beverage companies in India,” he added.
“In a world of increasingly label-conscious consumers, VKL’s unique blends of spices, extracts and other natural ingredients will enrich our portfolio of authentic taste profiles to delight Indian consumers,” said Gilbert Ghostine, CEO Firmenich. “We are excited to partner with VKL, a leader in the savory and food service space, who bring a demonstrated track record of innovation with both local and international players.”
“With Firmenich’s excellence in the science of taste, my team and I are excited to build the next chapter of growth for VKL,” said Ajay Mariwala, founder of VKL Seasoning Pvt. Ltd. “By combining our strengths, we will be able to serve our customers with renewed focus across the food sector.”
Commenting on the deal, Haresh Chawla, Partner, True North said, “VKL Seasonings and True North share the same values, focused on professional management practices, high quality talent and innovative creative systems. VKL’s impressive customer base coupled with in-depth knowledge of the local palate, has led to significant growth in the industry. We are confident that the company will reach new heights with Firmenich.”
“This joint venture underpins Firmenich’s ongoing commitment to India, one of our fastest growing markets,” said Satish Rao, Chairman & Managing Director, Firmenich India. “VKL expands our presence in India, while advancing our vision to be the taste and nutrition innovation partner of choice.”
VKL Seasoning will retain its brand identity and will operate as a stand-alone business within the company. Financial terms of the deal have not been disclosed.