Shares in European food ingredient groups have been given a boost by US chemical giant DuPont’s move to takeover Danish company Danisco which makes food ingredients, including emulsifiers, gums and natural sweeteners.
DuPont is paying the equivalent of 4.5 billion euros. That was seen as generous – the offer price for each Danisco share is 25 percent higher than they were worth of Friday.
Danisco’s Chairman Jorgen Tandrup said he would be surprised if a counter bidder emerged to rival DuPont’s agreed offer and he did not expect any objections from competition regulators.
The two companies are already close collaborators in projects to produce biofuels from agricultural waste.
The cash deal reflects DuPont push into the food and nutrition industry, particularly food additives an areas that has been long dominated by its smaller rival International Flavors and Fragrances.