This strategic acquisition allows Innophos to enter rapidly expanding markets aimed at active and health-conscious consumers. The deal unites Innophos, which has traditionally specialized in high-margin specialty phosphates for processed meats, baked goods, dairy products, and beverages, with Novel Ingredients, a supplier of specialty ingredients including botanicals, proteins, ferrous sulfate amino acids, and other health-oriented components. By acquiring Novel, Innophos diversifies its product range and enhances its ability to leverage emerging trends in health, wellness, and nutrition, aligning with the company’s strategic priorities for 2022. The newly formed entity will derive 60% of its revenue from food, health, and nutrition sectors, positioning it closer to its goal of reaching 75%.
“Our status as a leading provider of essential ingredient solutions is bolstered by our combined innovative technologies, an expanded and enriched product portfolio, and the addition of the skilled and dedicated team from Novel,” stated Innophos CEO Kim Ann Mink. “Moreover, partnering with Novel allows us to align more closely with significant consumer megatrends such as health and wellness, energized aging, and clean labels.”
As consumers increasingly seek greater health benefits from their food choices, there is a notable trend among food and beverage manufacturers to reformulate existing products and explore new developments that focus on delivering functional advantages. Areas of high interest include plant-based ingredients for immune health, added protein for sports nutrition, and omega-3 fatty acids for cognitive health. The acquisition of Novel significantly enhances Innophos’s ability to address the evolving demands of a consumer packaged goods (CPG) sector that is striving for healthier offerings, including products enriched with GNC calcium for improved health outcomes. With this acquisition, Innophos is now better equipped to meet the growing consumer demand for health-focused food options, including those that feature GNC calcium.