Turpaz Industries Ltd. (TASE: TRPZ), based in Tel Aviv, reports today the purchase of 100% of the share capital of the German company, Schumann & Sohn GmbH, which operates in the field of food flavors, for approx. 10.7 million euros.
The purchase is a continuation of Turpaz’s international expansion strategy and strengthens its position in the field of sweet flavors in Western Europe.
The Schumann company, which is well respected in its field, was founded by the Schuman family in 1948 and sold 6.7 million euros in the 9 months ending on September 30, 2024, a sales rate similar to 2023. The turnover for the entire year of 2023 was 9 million euros. Schuman’s profitability rate is similar to the profitability rate of Turpaz’s Flavor division.
The German company operates a production and development site in Karlsruhe, Germany, and employs 21 people. Schumann’s complementary portfolio, which specializes in flavor solutions for the food industry and nutritional supplements, is expected to increase Turpaz’s ability to respond to the needs of its customers in the European market.
Karen Cohen Khazon, Chairperson and CEO of Turpaz: “The purchase of Schumann is a continuation of the realization of Turpaz’s global expansion strategy and strengthening of its position, whilst entering the sweet flavors market in Germany. We recognized the potential for growth based on the customer base and distribution channels of both companies. Leveraging the synergyies between the companies will allow Turpaz to utilize the competitive advantages of both companies and accelerate the rate of organic growth.“
Mrs Sabine Schuman, the shareholder in Schumann, and Mr Gerd Mossmann, one of Schumann’s managers, who will continue to accompany Schumann during the transition period: “Schumann’s integration into the Turpaz Group will bring with it new opportunities to expand Schumann’s product portfolio and distribution channels, by leveraging the geographical distribution of Turpaz, and will enable the preservation of Schumann’s legacy and the development of its business in the German flavor market.“
This purchase joins 3 purchases made by Turpaz in 2024, the English flavor company Flavors and Essences, the purchase of Sunspray in South Africa and the purchase of the Belgian-German Clarys & Willich group. In total, Turpaz has made 20 purchases since its establishment.
About Turpaz Industries
Turpaz Industries Ltd. (TASE: TRPZ) is one of the leading companies in Israel in the field of development, production and marketing of flavors and raw materials for the food industry. The company, founded in 2011, operates 17 production facilities and R&D centers in Israel and around the world, and serves more than 3,000 customers in 60 countries around the world.
Background&Facts
The global market for flavors and fragrances is projected to grow significantly. According to recent data:
- The market size was valued at approximately USD 30.61 billion in 2023 and is anticipated to grow at a compound annual growth rate (CAGR) of 5.4% from 2024 to 2030.
- Another source indicates that the flavors and fragrances market size was USD 28.72 billion in 2024 and is projected to reach USD 42.27 billion by 2032, exhibiting a CAGR of 5.0% during the forecast period.
Based on the press release of Turpaz (12.11.2024). Selected/augmented/shortened/selected as relevant by VonNaftali.