IFF strengthens its natural ingredients portfolio through Frutarom acquisition

April 30, 2019 | Case Study

International Flavors and Fragrances (IFF) is a key player in the flavors and fragrances (F&F) space, with annual revenue of about $3.4 billon. The company’s "Flavors" segment accounts for around 48% of revenue, and its "Fragrances" segment accounts for the remaining 52%. The company has followed an aggressive expansion strategy since 2014 by acquiring several smaller-sized players in the fragrance and ingredients space. IFF has been keen on expanding its product portfolio related to natural ingredients, in line with its Vision 2020 strategy. As part of this strategy, IFF agreed to acquire midsized Israeli company Frutarom for $7.1 billion in the biggest-ever F&F industry deal to date. In October 2018, it completed the Frutarom acquisition.