Novonesis to acquire Feed Enzyme Alliance from dsm-firmenich for EUR 1.5 billion

Novonesis has reached an agreement with dsm-firmenich to dissolve the Feed Enzyme Alliance and take over its sales and distribution activities, in a deal worth EUR 1.5 billion. This move comes after more than 25 years of successful collaboration, driven by a strategic repositioning at dsm-firmenich.

Novonesis CEO Ester Baiget expressed excitement over the acquisition, stating, “Growing global protein demand, coupled with increasing land and water scarcity, requires innovative solutions. With an expanded presence across the animal biosolutions value chain, we are better positioned to create more value for customers with sustainable value-adding biosolutions.”

Dimitri de Vreeze, CEO of dsm-firmenich, commented on the successful partnership, saying, “The Alliance has been a great success for both companies, establishing a global leadership position in feed enzymes. I am confident that this business will continue to thrive under the leadership of Novonesis.”

The acquisition will enable Novonesis to vertically integrate the entire value chain of the Alliance, combining dsm-firmenich’s sales and distribution activities with its existing product innovation and production capabilities. This integration will enhance Novonesis’ ability to serve customers with strong market insights and advanced product technologies.

Through the successful combination of Novozymes and Chr. Hansen, Novonesis is now a leader in animal biosolutions. The acquisition will extend its customer reach and offer a broader range of market-leading biosolutions for both animal nutrition and health.

The animal biosolutions market is projected to grow at a mid-single-digit compound annual growth rate, driven by rising protein demand, land scarcity, and environmental concerns. This acquisition will accelerate Novonesis’ sales growth, boost adjusted EBITDA margin, and deliver significant revenue synergies.