Ingredion to acquire Kerr Concentrates

Ingredion Incorporated, a Westchester, Ill.-based provider of ingredient solutions to diversified industries, said it agreed to acquire Salem, Ore.-based Kerr Concentrates Inc., a privately held producer of natural fruit and vegetable concentrates, purees and essences. The transaction of approximately $100 million is expected to close within 30 business days, pending customary closing conditions.

“Kerr is a profitable company with an exciting portfolio of value-added ingredients that will broaden our current line of wholesome clean-label solutions. Kerr transforms fruits and vegetables into natural ingredients that resonate with consumers and are increasingly in demand by customers,” said Ilene Gordon, Ingredion's CEO. 

Kerr’s ingredients uphold the integrity and richness of raw fruits and vegetables while providing multiple functionalities, Ingredion said. They can be used to enhance the nutrition, texture, flavor and appearance of a number of foods and beverages across a wide variety of categories, ranging from smoothies, juices, dairy products and baked goods to soups and dressings. A single ingredient can add color, flavor and texture to food or beverage products, making it possible to simplify the ingredient list.

“This is an opportunity to grow Kerr’s portfolio with our advanced technologies and product-development capabilities. And we intend to expand the business with our broad customer network and global presence,” Gordon added. 

The trend toward simple ingredients is rapidly growing, the company noted, and the Kerr acquisition is another step in expanding Ingredion’s clean-label ingredient portfolio.

“This extends our clean-label offerings beyond ingredient solutions made from corn, tapioca and potato, and we continue to look for acquisition opportunities in this space,” Gordon explained.