BRAZIL – Lesaffre, a global leader in yeast derivatives, has made a significant move in the market by acquiring a 70% stake in Biorigin, a Brazilian unit of the multinational company Zilor.
This acquisition, which gives Lesaffre control over Biorigin, is expected to strengthen Lesaffre’s position in the production of savoury ingredients and yeast-based solutions for both human food and animal nutrition industries. Zilor will retain a 30% share in Biorigin, preserving its role in the business.
Biorigin, with its production facility located in Quatá, São Paulo, is strategically positioned in Brazil, where resources such as sugar, water, and renewable energy are abundant. These factors make the country an ideal location for expanding yeast derivative production.
The acquisition is expected to streamline processes, improve logistics, and offer enhanced services to a global customer base, enabling both companies to leverage each other’s strengths for growth.
Lesaffre’s CEO, Brice-Audren Riché, hailed the acquisition as a critical step towards addressing the rising demand for natural ingredients.
“This acquisition will offer development opportunities to meet the growing needs of the human food and nutrition industries, as society increasingly demands savoury ingredients from natural sources,” Riché noted.
He emphasised that the deal would allow Lesaffre and its business unit, Biospringer, to elevate their role as global leaders in yeast extracts and derivatives.
Biorigin will continue to operate under its own brand name, producing and marketing its well-known yeast-derived products.
However, the acquisition gives Lesaffre access to advanced yeast processing technologies and expertise, which is expected to elevate their global production capabilities.
This also aligns with Lesaffre’s broader strategy to expand its market share in the food and animal nutrition sectors, sectors in which yeast derivatives play an increasingly vital role.
The transaction is subject to the standard regulatory approvals, including clearance from the Administrative Council for Economic Defense (CADE) in Brazil, as well as approval from creditors.
These approvals are anticipated in the coming months, with both companies continuing to operate independently until the deal is finalised.
In a parallel development, Lesaffre has also entered into a collaboration agreement with DSM-Firmenich, further expanding its foothold in the savoury ingredients market.
As part of this agreement, Lesaffre will acquire DSM-Firmenich’s yeast extract processing technologies and integrate its yeast extract products into its own global manufacturing network.
This strategic collaboration will enable Lesaffre to enhance its research and development capabilities and further diversify its product offerings.
The integration of DSM-Firmenich’s technologies and the expertise of 46 employees from its yeast extract division is expected to significantly impact Lesaffre’s Biospringer unit.
This move will not only bolster the company’s savoury ingredients portfolio but also provide customers with new, innovative solutions based on fermentation processes.
As DSM-Firmenich refocuses its strategic objectives on nutrition, health, and beauty, the deal marks an important step in its broader portfolio realignment.
Lesaffre will continue receiving yeast extracts from DSM-Firmenich’s Delft facility until 2025, after which production will be discontinued. However, customers have been assured that there will be no disruption in supply during the transition.
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