When it announced the $7.1bn (£5.26bn) deal in May, IFF said the takeover would enable it to offer customers a broader range of products, and allow both firms to make $145m in cost-savings by the end of the third full-year. With all applicable antitrust and competition laws now satisfied, IFF said it was on-track to complete the deal by early October – ahead of its original plan. “We are pleased that we’ve received our final antitrust clearance from Russia to proceed with our combination with Frutarom,”​ said IFF Chairman and chief executive Andreas Fibig. “Building on our strong momentum – having obtained Frutarom shareholder approval and receiving all relevant antitrust clearance – we continue to make significant progress in our integration planning. ​ ‘On-track to close the transaction’​ “With great execution from our teams, we are on-track to close the transaction in early October – ahead of our original expectation.”​ With a primary focus on natural ingredients, 70% of Frutarom’s sales are made to local and mid-size customers. In all, the Israeli-headquartered firm sells 70,000 products to 30,000 customers in 150 countries. Under the terms of the deal, Ori Yehudai, president and chief executive of Frutarom, will serve as a strategic adviser supporting Fibig. IFF will remain headquartered in New York, but will maintain a presence in Israel. ‘More exposure to fast-growing end-markets’​ By combining with Frutarom, IFF said it would have “more ​exposure to fast-growing end-markets and an enhanced platform to deliver sustainable, profitable growth”​​​. Earlier this year, Frutarom purchased UK-based Flavours & Essences for £14.75m​​​. That deal was dwarfed by its acquisition of fellow Israeli firm Enzymotec last December. Having owned 19% of the company, Frutarom bought the remaining 81% for $210m (£158m). Further consolidation in the flavourings sector came in March when Swiss giant Givaudan agreed to buy a 40.6% stake in French firm Naturex​​​​ for €522m (£457m), and launch a cash tender offer for the remaining shares. The successive takeovers have meant the global flavourings market is now dominated by four companies – IFF, Symrise, Givaudan and Firmenich.
US -based International Flavors and Fragrances (IFF) has announced that its $ $210m acquisition of Israeli company Frutarom has received full regulatory approval following antitrust approval from Israel . The deal is expected to close by early October , ahead of the original scheduled closing time. As per the deal, International Flavors and Fragrances president and chief executive Frutarom will serve as strategic adviser supporting Fibig . The combined companies will be headquartered in Russia , but maintain a presence in Israel .