Balchem raises pharma profile with Loders acquisition
of IOI Group - part of Loders Croklaan USA - in a move that extends
its activities in the food and pharmaceutical ingredient sectors.
Balchem's Encapsulated/Nutritional Products - one of three divisions in the Balchem group along with ARC Speciality Products and feed budiness BCP Ingredients - provides proprietary microencapsulation products in an expanding variety of applications. The company describes its encapsulation technology as 'a delivery system that cuts across food, feed, pharmaceutical and industrial applications'.
" This acquisition enhances Balchem's strategic initiatives as a supplier of encapsulated and agglomerated ingredients for use in the pharmaceutical industry," said Dino Rossi, president and CEO of Balchem. In addition, he said, "the integration of Loders' fluidised bed encapsulation and agglomeration technologies with our current technologies will provide superior product lines that will address many needs in the food industry."
Balchem will continue to operate the acquired business primarily out of Channahon, Illinois, US, with certain product manufacturing moving to other Balchem operations.
Balchem said the acquired business had sales of approximately $6 million (€5m) in Loders' fiscal year ending 30 June. The acquisition was financed from the cash reserves of Balchem.
"We are thrilled to add the innovative products currently produced by Loders to our portfolio of encapsulated ingredients, and are particularly excited about expanding our technology capabilities, specifically designed for the pharmaceutical and supplementation industries," said Eric Smith, Balchem's vice president, sales & marketing, Human food & nutrition.
He added that the prospect of developing novel applications for these markets 'is significant, and supports our commitment to technology growth and strengthening our business'.
