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Kemin expands petfood division with acquision from American Dehydrated Foods

03-05-2011 | |
Kemin expands petfood division with acquision from American Dehydrated Foods

Kemin Industries, Inc. and American Dehydrated Foods, Inc. (ADF) have reached an agreement on acquisition terms allowing Kemin to purchase property, equipment and assets related to ADF’s spray drying technology for products used in premium and super-premium pet food.

The transaction is expected to close on June 30, 2011, and includes both ADF’s Verona South spray dried meat and digest facility and ADF’s research facility, each located in Verona, Missouri. In addition to continuing to manufacture and distribute some of ADF’s existing product lines produced at this facility, Kemin plans to install new processing equipment that will allow the manufacture of Kemin’s premium Palasurance brand of palatant products.

“By combining ADF’s spray drying technology with Kemin’s Palasurance brand of palatants, we will be in a position to provide pet food manufacturers with the best palatant technology and performance available,” said Giuseppe Abrate, president of Kemin Nutrisurance, Kemin’s pet food division. “We have long been impressed by ADF and their operation and look forward to welcoming the ADF employees at the Verona South plant to the Kemin family.”

At the completion of the transaction, ADF will continue to be a global leader in the manufacture and sale of spray-dried egg and chicken products for the premium and super-premium pet-food industry. Verona South represents one of ADF’s eight operational locations. In addition, ADF will continue to own and operate drying facilities at the Verona North plant in Verona, Missouri and at its plant in Social Circle, Georgia.

Kemin, already a market leader in antioxidants for pet food, is rapidly expanding its worldwide palatant manufacturing operations, and this acquisition is part of it’s global expansion plan. With the addition of the Verona South facility, Kemin will increase its global capacity as a palatant manufacturer. Last year, Kemin opened a new, state-of-the-art palatant manufacturing facility in Veronella, Italy, and in 2008, Kemin acquired a controlling interest in Nord Palatabilizantes do Brasil.

In addition to the $30 million expansion of its corporate headquarters in Des Moines, Iowa, Kemin is currently pursuing expansion opportunities in Belgium, China, India, Russia and South Africa.

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