Frutarom acquires the Brazilian company Mylner

Frutarom Industries announced that yesterday it signed an agreement for the acquisition of the Brazilian Mylner Indústria E Comércio Ltda (“Mylner”), in return for approximately $US 15.7 million.

Mylner, founded in 1974 by three partners with many years of experience and a well established reputation, develops, manufactures and markets flavor solutions, focusing mainly on sweet flavors for beverages and baked goods, and natural flavor products.

Mylner has a modern development, production and marketing site in the area of Sao Paulo, Brazil, including land for future expansion, and employs some 70 workers.

Mylner’s wide customer base includes food manufacturers mainly in Brazil, and in other developing
countries in Latin America.

Mylner has shown impressive growth rates over the past few years, and its sales turnover has increased over the last 4 years by 43%, from revenues of 13.2 million
BRL (US$ 6.8 million) in 2007 to revenues of 19 million BRL (US$11.4 million) in 2011. Over the last year, Mylner’s sales turnover grew by 8%.

The acquisition is expected to significantly increase Frutarom’s customer base,product portfolio and the scope of its sales in the flavors market, while deepening its
operations and market share in the growing Brazilian market and in Latin American markets.

Frutarom intends to utilize Mylner’s production, development, sales and management, capacities as a base for the development of its business in this important developing region.