Eurogerm buys 70% stake in Problend Ingredients

A subsidiary of food technical ingredients company Eurogerm, Eurogerm USA, has acquired a 70% stake in US-based Problend Ingredients, which specialises in preparations for pastries, cookies and breading.

This acquisition is in line with Eurogerm’s strategy to strengthen its international presence by expanding its product and service offering.

Problend was founded in Chicago by bakery professionals Jim Gribben and Dave Colson; it is an established supplier of national mass-retail and out-of-home catering brands.

While the company’s formulas are developed in its Chicago laboratory, its mixing plant is located in Illinois.

Eurogerm will own 70% of the new entity, while the remaining 30% interest will be owned by the senior management of Problend.

The acquisition will allow Eurogerm to strengthen its presence in North American and international markets, and to acquire additional know-how in breading and the formulation of products aimed at the American markets.

Additionally, Eurogerm will provide the new entity with its knowledge of crispy breads and pastries that are popular in the US.

Problend Ingredients managers Jim Gibben and Dave Colson said: "We are delighted with the merger with Eurogerm, which illustrates the highly complementary nature of our respective areas of expertise."

Eurogerm chairman and CEO Jean-Philippe Girard, managing director Benoît Huvet and export manager Serge Momus said in a joint statement that the acquisition illustrates firm’s intention of pursuing investments in high-potential markets.

"The operational merger of these two entities will provide substantial commercial and technical synergies, and should actively contribute to our international and North American development," the joint statement said.

Eurogerm develops, produces and markets milling correctors, bread-making improvers and ingredients for better regularity and quality, and enhanced wheat-flour-bread products.