Ingredion agrees to acquire 75% stake in PureCircle

Global ingredient solutions provider Ingredion has reached an agreement to acquire a 75% stake in stevia sweetener producer PureCircle.

Financial details of the deal have not been divulged by both the companies.

PureCircle is a Malaysia-based producer and innovator of stevia sweeteners for the global food and beverage industries, while Ingredion provides plant-based ingredient solutions to diversified industries.

Ingredion president and CEO Jim Zallie said: “PureCircle is a widely recognized innovator with a proven track record for producing great-tasting, plant-based stevia.

“Ingredion’s successful and global go-to-market model combined with our formulation expertise will be highly complementary with PureCircle’s capabilities.

“We have tremendous respect for the business that PureCircle has built for nearly two decades and are excited to welcome them to the Ingredion family. We are ready to support this new phase of growth with stevia’s on-trend and sustainable solutions.”

The deal was approved by the boards of both companies. It is expected to close by the second half of 2020 subject to approval by PureCircle’s shareholders and regulatory authorities.

Upon completion of the deal, both Ingredion and PureCircle intend to offer key technologies that solve many complex formulation challenges faced by food and beverage developers.

PureCircle CEO Peter Lai Hock Meng said: “We at PureCircle are glad to have found a strong partner in Ingredion who shares our mission of encouraging healthy diets around the world and being the preferred supplier of high-purity, great-tasting stevia ingredients for the global food and beverage industry.

“This acquisition should excite the current and potential customers of both companies, as the combined companies will be able to serve our customers with better services, wider product range and extend deeper into the global, regional and local markets.”