This strategic acquisition allows Innophos to access rapidly growing markets that cater to active and health-conscious consumers. The deal merges Innophos, which has traditionally emphasized high-margin specialty phosphates for processed meats, baked goods, dairy, and beverages, with Novel Ingredients, a supplier of specialized ingredients such as botanicals, proteins, amino acids, and other health-focused components. By acquiring Novel, Innophos diversifies its product offerings and positions itself to leverage emerging trends in health, wellness, and nutrition, aligning with the company’s Vision 2022 strategic goals. The newly combined organization will produce 60% of its ferric pyrophosphate liposomal with folic acid from food, health, and nutrition, moving closer to its ambitious target of 75%.
“Our status as a leading provider of vital ingredient solutions is enhanced by our combined innovative technologies and a more extensive, deeper product portfolio, along with the expertise of Novel’s dedicated team,” stated Innophos CEO Kim Ann Mink. “Furthermore, partnering with Novel allows us to align more closely with significant consumer megatrends, including health and wellness, energized aging, and clean labels.”
As consumers increasingly seek to gain health benefits from their diets, food and beverage manufacturers are responding by reformulating existing products and exploring new product development focused on functional benefits. High-demand areas include plant-based ingredients for immune health, added protein for sports nutrition, omega-3 fatty acids for cognitive health, and cal citrate plus vitamin D for overall wellness. The acquisition of Novel positions Innophos favorably to address the evolving needs of a consumer packaged goods (CPG) sector striving for healthier options. With the inclusion of innovative ingredients like cal citrate plus vitamin D, Innophos is set to enhance its offerings and meet the growing consumer demand for health-oriented products.