Naturex Acquires Burgundy Botanical Extracts

AVIGNON, FranceNaturex acquired Burgundy Botanical Extracts to strengthen its industrial base and broaden its nutraceutical, pharmaceutical and personal care portfolios. Burgundy Botanical Extracts, a French manufacturer and supplier of plant extracts, will in turn benefit from Naturexs industrial and technical expertise in addition to its global sourcing capacity and innovation.

Burgundy Botanical Extracts has 12 years of experience in botanical extracts including knowledge of medicinal plants, phytochemistry and biochemistry. It employs around 60 people at its two production sites based in Reyssouze, France, and Palafolls, Spain, both of which have extraction, purification and drying capabilities. Burgundy has three major markets: nutrition and health (39 percent of sales in 2010), pharmaceutical (28 percent of sales) and cosmetics (17 percent). Nine percent of sales come from services such as custom formulation, extraction and processing.

Burgundys flagship products include grape seed and cranberry extracts, UTIrose, a patented hibiscus extract for use in combating urinary infections, and Iridoforce, an extract from harpagophytum used in the prevention of arthrosis and joint diseases.

This acquisition fits perfectly with Naturexs strategy for pursuing growth in its different markets," said Jacques Dikansky, chairman, CEO and co-founder, Naturex. It is an excellent development opportunity in terms of both manufacturing capacity and commercial positing. With our successful track record in integrating companies and the promising potential for synergies and cross selling from this merger, we are confident in our ability to generate substantial profitable growth, creating vale for our customers, employees and investors."

Naturexs reported its sales grew by 17.5 percent in its consolidated results for the first quarter of financial year 2011. Consolidated revenue for the first quarter of 2011 reached 60.4 million euros, up 24.0 percent in current currencies. Naturex said growth was due the combined effects of an enhanced product range and sales synergies that have benefited all of the markets and geographical regions.