Royal DSM to acquire Norwegian ingredient manufacturer Vestkorn Milling
Dutch science-based company Royal DSM has agreed to acquire Vestkorn Milling, a Norwegian producer of pea- and bean-derived ingredients for plant-based protein products, for €65 million.
Vestkorn Milling caters to the alternative protein market by supplying proteins, dietary fibers, and starches for plant-based foods, animal feed, and pet food.
The ingredient manufacturer has a workforce of 55 people. It is headquartered in Tau, which is located on the south-west coast of Norway.
Aslak Lie — CEO of Vestkorn Milling, commenting on Royal DSM acquisition of Vestkorn Milling, said: “Through the cooperation with DSM we have taken a huge step towards becoming a global leader of pulse-based ingredients. Over the past years we have significantly expanded our business and market.
“With DSM, we have got a long-term oriented owner that will fuel further growth and expansion. We are thrilled by this opportunity, and we look forward to being a part of the DSM team.”
Royal DSM said that the acquisition of Vestkorn Milling is the next step in its strategy to develop an alternative protein business. Furthermore, the addition of the Norwegian firm will provide synergy with Royal DSM’s CanolaPRO rapeseed protein isolate, which is slated to be launched commercially in 2022.
According to Royal DSM, the proteins, dietary fibers, and starches of Vestkorn Milling are highly complementary to its wide offering of vitamins, algal lipids and minerals, flavors and yeast extracts, texturizing hydrocolloids, and enzymes to firms engaged in developing plant-based food and beverages.
Royal DSM said that the combination with Vestkorn Milling will also help it deliver on its food system commitments of supplying delicious, nutritious and sustainable plant-based protein foods by the end of this decade to 150 million people.
Commenting on Royal DSM acquisition of Vestkorn Milling, Patrick Niels — Executive Vice President of Royal DSM Food & Beverage division, said: “We very much look forward to welcoming Vestkorn Milling and their team to DSM. Increasingly, food and beverage producers around the world are looking to partners who can offer an integrated portfolio of ingredients, expertise, and solutions to help them differentiate and get to market fast.
“This is especially important in the highly dynamic meat alternatives space, where consumer and societal expectations around authentic taste, texture, and nutritional profile, as well as climate impact, are becoming more and more sophisticated.”
Royal DSM acquisition of Vestkorn Milling, which is contingent on customary conditions, is anticipated to close in Q4 2021.