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US: IFF-DuPont merger creates $45B behemoth

By  |  December 16, 2019

International Flavors & Fragrances (IFF) stated it will merge with DuPont’s US$26.2 billion nutrition & biosciences unit in a deal that will create a new consumer giant valued at more than US$45 billion, reported the Financial Times.

The deal will create a giant in the flavorings and nutrients industry, providing ingredients for products from vegan burgers to salad dressing to laundry detergent. 

The combined company will have an enterprise value, which includes debt, of US$45.4 billion, with annual revenues of about US$11 billion. IFF beat Ireland’s Kerry Group in the auction of the DuPont unit. The unit will be spun off and merged using a Reverse Morris Trust structure which means DuPont’s shareholders will not have to pay tax on the deal.