Croda Acquires Seed Enhancement Company
Croda International Plc, a speciality chemical manufacturer behind some of the biggest, most successful brands in the world today announces that it has agreed to acquire Incotec Group BV, an independent innovative seed enhancement business headquartered in The Netherlands, for a total consideration, inclusive of debt, of €155 million (£109m). The acquisition is expected to complete on 4 December 2015.
Operating in one of the fastest growing segments within the crop care market, Incotec has developed and supplied a wide range of proprietary and sustainable technologies for both vegetable seeds and field crops since 1968. Their products and services help to enhance and improve seed performance, allowing greater efficacy and functionality to be delivered directly by the seed to increase farming yields to feed the world’s growing population.
Seed enhancement has been identified as a key market opportunity for Croda’s Crop Care business. Through this acquisition, a broader, more innovative portfolio of products will be available to customers through an enlarged and enriched global research and technical capability and a dedicated global sales force. Supported by further investment from Croda, the Incotec business will retain its independent identity and strong brand in offering priming, disinfecting, film coating, encrusting and pelleting expertise and providing analytical quality testing.
Steve Foots, Chief Executive of Croda, said: “Incotec is a rare asset in a niche, high value, fast growing sector of the global crop market. With an experienced research and development led management team, Incotec brings differentiated market leading technologies, world class innovation and strong customer relationships. The combination with our own Crop Care business creates a strong and unique platform for future growth. We believe that our combined innovation strengths, together with our global sales reach, will enable us to be far more responsive in meeting the unmet needs of our customers today and tomorrow.”
Douwe Zijp, Chief Executive of Incotec Group, said: “We started to look for a new partner and shareholder earlier this year and are extremely happy to have found the right partner in Croda. Together, we will continue to focus on the empowerment and encouragement of innovation, sustainability and customer intimacy. We are excited about our joint future and being part of the Croda Group.”
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For more information, please contact:
Jez Maiden, Group Finance Director Tel: +44 1405 860551
Conleth Campbell, VP Investor Relations Tel: +44 1405 860551
Charlie Armitstead, Pendomer Communications Tel: +44 7703 330 269
About Incotec:
Incotec is a leading player in the field of seed enhancement worldwide servicing multinational and local seed producers. Incotec adds value to the seed and crop protection industry value chain by providing a range of technologies and services for seed coating, pelleting, seed enhancement and analytical services for genetic analysis and quality inspection. Incotec has a long track record as an innovative leader in the industry, supported by a highly qualified research and development team dedicated to seed enhancement and related technologies.
www.incotec.com