EID Parry completes acquisition of  Valensa

 

Chennai, October 4, 2011: E.I.D.-Parry (India) Limited, a part of the USD 3.8 billion Murugappa Group, has announced acquisition of 100% of the voting shares of U. S. Nutraceuticals LLC (Valensa International), a Limited Liability Company based in Florida, USA

Parry acquired a 48% stake in Valensa in 2008 as a part of its business strategy to move up the value chain in the Nutraceuticals Business. Valensa International is a leading science-based developer and provider of high quality nature-sourced ingredients and formulations for nutritional supplements and functional super foods with its certified organic production facilities located in a protected pine forest and Saw palmetto grove in Orlando, Florida. Valensa offers a range of branded ingredients and innovative formulations including Astaxanthin, Spirulina & Astaxanthin Complex, Saw Palmetto Extracts, Perilla seed CO2 extract, CO2 Chia Seed Extract, Chia Seed Oil, Low-Fat Whole Grain, Cranberry Seed Extract, Astaxanthin-Cranberry Seed Extract and its new formulated Krill product.

“There is a huge synergy in this acquisition” said Mr. Sajiv Menon, Business Head (Bio & Nutraceuticals) of E.I.D.-Parry. He added “Parry Nutraceuticals is a global leader in micro algal technology producing the world’s finest certified organic Spirulina, natural beta carotene from Dunaliella salina, and Astaxanthin from Haematococcus pluvialis. We have our manufacturing facilities in Tamil Nadu and in Maharashtra and apart from the algal products also produce and market Lycopene from Tomato paste and have recently launched Galactomannan, a soluble fibre extracted from Fenugreek known to have major benefits in diabetes management. We have also entered the Indian OTC market with the launch of Pro9, a whey based Protein drink powder and Pro9D a protein drink with Fenugreek extracts for diabetics, with many more products in the pipeline. Parry has established itself as a producer of high quality ingredients like Organic Spirulina over the last fifteen years with customers in Europe, the US and Asia. This acquisition provides the platform for Parry to move up the value chain by manufacturing value added formulations from its ingredients apart from cross selling opportunities in the US and in the rest of the world for both Parry and Valensa”.

“Valensa’s Pur Blue SpiruZan tablets are the first product of its type that appeals to the finicky consumer who is looking for a taste enhanced algal product and we have developed this together with Parry as an example of the cooperation between the two companies” said Dr. Rudi E. Moerck CEO of Valensa. “This is a great way for Americans to benefit from a nutritious ‘green’ Spirulina algae product without that typical algae taste. Valensa’s business is now poised to take off with the company developing science based condition specific formulated products that address unmet needs in Joint Health, Aging, Men’s and Women’s Health as well as advanced Astaxanthin containing formulations for Eye Health. In the area of Eye Health, Valensa holds a key patent on the use of Astaxanthin which generally mitigates the damaging effects of UV and oxidative stress on the eye, a worldwide problem” he added.

“Valensa has developed new clinically trialed formulated products for Joint Health based on Krill oil and key Valensa ingredients such as Astaxanthin. This flagship product, FlexPro MD™, will be marketed by leading companies under their own brand names in the US. The product is a small one-a-day softgel that does not contain chondroitin nor glucosamine and has been shown to be highly effective in clinical trials and has now been licensed to major marketers in the Mass, Food and Drug as well as the Catalogue, Internet and Natural Products Marketplace”, said Mr. Menon of Parry. Dr. Moerck added that “there will be significant launches of Valensa’s formulated products by key marketers in the fourth Quarter and Q1 of 2012.”

Parry invested Rs.22.4 crores for acquisition of the outstanding shares of Valensa.

About Murugappa Group

Founded in 1900, the Rs. 17051 Crores (USD 3.8 billion) Murugappa Group is one of India’s leading business conglomerates. The Group has 29 businesses including eight listed Companies actively traded in NSE & BSE. Headquartered in Chennai, the major Companies of the Group include Carborundum Universal Ltd., Cholamandalam Investment and Finance Company Ltd., Cholamandalam MS General Insurance Company Ltd., Coromandel International Ltd., Coromandel Engineering Company Ltd., E.I.D. Parry (India) Ltd., Parry Agro Industries Ltd., Tube Investments of India Ltd. and Wendt (India) Ltd.

Market leaders in served segments including Abrasives, Auto Components, Cycles, Sugar, Farm Inputs, Fertilizers, Plantations, Construction, Bio-products and Nutraceuticals, the Group has forged strong joint venture alliances with leading international companies like Groupe Chimique Tunisien, Foskor, Cargill, Mitsui Sumitomo and Morgan Crucible. The Group has a wide geographical presence spanning 13 states in India and 5 continents. Renowned brands like BSA, Hercules, Ballmaster, Ajax, Parry’s, Gromor and Paramfos are from the Murugappa stable. The organization fosters an environment of professionalism and has a workforce of over 32,000 employees.

For further queries, contact

Vinod Kumar/Diya Kinger,
Ogilvy Public Relations Worldwide
Mobile : 9840126179/ 8939623044

R V Prasad,
External Communications Lead,
Murugappa Group.
Mobile : 9840120590