Raisio has sold its US esterification plant to Avoca Inc, a subsidiary of Pharmachem Laboratories Inc. The agreement was signed and transaction closed on 18 April 2013. With the deal, the production of plant stanol ester, a Benecol product ingredient, will be centralised to the Raisio-based factory and profitability will improve according to the Group objective.
Raisio built the esterification plant in Summerville, South-Carolina, in 1998. Summerville factory has operated as a reserve plant with low volumes. In 2012, net sales of the factory totalled approximately EUR3.2 million excluding the production of plant stanol ester, a Benecol product ingredient, not part of the transaction. The factory employs 19 persons.
Avoca is a division of Pharmachem Laboratories headquartered in Kearny, New Jersey. Pharmachem Laboratories is an international innovator, manufacturer and supplier of high-quality ingredients. Avoca is a custom developer and manufacturer of extraction products and services. For 40 years, Avoca has worked closely with, e.g., some of the world’s outstanding flavour and fragrance companies. Avoca’s net sales in 2012 were approximately USD60 million.
Benecol is a global trademark owned by Raisio, and plant stanol ester is an ingredient patented worldwide by Raisio. Benecol products are sold and marketed by Raisio’s wide partner network in some 30 countries on five continents. Net sales of Benecol business totalled EUR45 million in 2012.
