Two bidders may be vying for DuPont’s nutrition business.
Bloomberg reported that New York City-based International Food and Fragrances is now vying with Irish-based Kerry Group for the business owned by DuPont.
As is typical with such deals, no sources were named as negotiations are continuing. It is also possible that talks could fall apart with either company. DuPont could then spin of the company as it did with Chemours.
Kerry, a food and food ingredients company, has long been mentioned as a suitor for the business. DuPont Executive Chairman Ed Breen is said to be pushing for the sale of the business in an effort to increase shareholder value for DuPont.
DuPont, under former CEO Ellen Kullman, waged a long battle to acquire a key part of the business, Denmark-based Danisco.
According to Bloomberg, the all-stock $25 billion acquisition by Kerry would leave DuPont shareholders with a large stake in the Irish company.
The stock deal would also have fewer tax consequences for shareholders. An all-cash deal would be a stretch for Kerry, which has annual sales of about $8 billion.
The Kerry Group is not related to the popular Kerrygold butter brand, which is exported by Irish dairy cooperative Omua. Kerrygold has promoted its Irish roots and has grown to become one of the best-selling butter brands in the U.S.
