On October 9, 2024, Axxence Aromatic GmbH (Axxence), a leading European manufacturer of natural aroma ingredients, and Natural Advantage announced the signature of a definitive agreement to combine their businesses. This strategic move is designed to be aligned with Axxence’s growth strategy to expand its market reach and product offering and will create a global leader in the natural aroma ingredients sector, serving the food, beverage, and fragrance industries worldwide. The newly-formed group is said to capitalize on both companies’ formidable market presence and shared dedication to quality and innovation.
"This merger marks a significant milestone in both companies’ history," states Ron Honing, CEO of Axxence. "By combining our strengths, we not only enhance our geographic reach and customer base but also amplify our capability to produce complex natural aroma ingredients with guaranteed traceability, exceptional product quality, and expedited delivery. Together, Axxence and Natural Advantage are perfectly positioned to meet the growing demand for natural and sustainable products in our industry. We look forward to welcoming the talented team from Natural Advantage and working together to drive innovation and exceptional customer service standards."
Carol Callahan, founder and CEO of Natural Advantage, adds, "We are very pleased to be able to join forces with Axxence. This business combination not only provides exciting opportunities for our employees and customers but also ensures the continued success and growth of the business we have built. We are confident that Axxence’s leadership and expertise will take Natural Advantage to new heights, and we are pleased to entrust the future of our company to such capable hands."
Merger Details
The Group will generate approximately €60.0 million in combined revenues, operating 3 production sites with its natural products and compounds distributed across 45 countries.
Under the terms of the agreement, Axxence will integrate some of Natural Advantage’s production assets in Oakdale, Louisiana (USA) and assume ownership of all inventory and intellectual property rights. The newly-formed entity will operate under the name Axxence Production USA in Natural Advantage’s existing facilities. Upon completion of the transaction, all employees of Natural Advantage will be offered positions in the newly formed Axxence Production USA, ensuring continuity and stability. As part of the transition, owners Carol Callahan and Brian Byrne will retire, transferring leadership to Axxence's experienced management.
The transaction, which is subject to customary closing conditions, is expected to close in early October. The purchase price remains undisclosed by mutual agreement.
