DGAP-News: Symrise AG: Acquisition of Diana Group - Symrise gearing up for second decade of accelerated growth

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| Source: EQS Group AG
DGAP-News: Symrise AG / Key word(s): Mergers & Acquisitions
Symrise AG: Acquisition of Diana Group - Symrise gearing up for second
decade of accelerated growth

12.04.2014 / 21:06

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Holzminden, 12 April 2014

Acquisition of Diana Group - Symrise gearing up for second decade of
accelerated growth

  - Creates backward integrated flavor company with unique raw material
    base

  - Broadens addressed market by becoming leading value-add supplier for
    pet food industry

  - Complementary acquisition with smooth integration approach will ensure
    customer focus

  - Closing expected in Q3 2014

  - Expected to be fully EPS accretive from 2015 onwards 

Symrise AG has submitted a binding offer and has entered into exclusive
discussions with the owners of Diana Group with regards to the acquisition
of Diana Group, one of the most attractive assets in the flavor and
nutrition space. With the planned transaction, Symrise will significantly
expand its position in the Flavor & Nutrition market, strengthen its
backward integration and expand its activities into the highly attractive
Pet Food market. The investment amounts to EUR 1.3 billion, for which
Symrise has already secured the required bridge financing. The final
financing structure will comprise of debt and equity. The acquisition is
expected to be fully EPS accretive from 2015 onwards. In 2013, Diana had
sales of ca. EUR 425 million and an EBITDA margin of ca. 21 %. The proposed
transaction is subject to consultation with the worker's council and to
antitrust clearance.

As the partner of choice for its clients in the Food, Pet Food,
Nutraceuticals, Aquaculture and Cosmetics industries, Diana has become one
of the leading suppliers of organoleptic solutions based on natural
ingredients. Diana is a world leader in natural and functional food
solutions and palatability enhancers for pet food and works alongside its
clients to increase the sensorial and nutritional performance of their
products. Diana is headquartered in Vannes, France, and operates own
production facilities and sales offices in 23 countries in Europe, North
and Latin America as well as Asia. With more than 2,000 employees, the
company generated sales of ca. EUR 425 million and an EBITDA margin of ca.
21 % in 2013.

Dr Heinz Jürgen Bertram, Chief Executive Officer of Symrise AG, commented:
"The proposed acquisition represents a major milestone for Symrise right
after our 10th anniversary, and is fully in line with our strategic
objective to further accelerate profitable growth. Diana Group is an
impressive and highly profitable business with a strong complementary fit
to our activities in the Flavor & Nutrition market. With Diana we will be
able to significantly diversify our portfolio for natural ingredients, tap
into new business segments, strengthen our raw material supply and meet the
requests for traceability from our customers. The planned integration of
Diana will create an unparalleled set-up which will offer us new
opportunities for profitable growth beyond our current market and establish
an excellent position to generate value in the future. We believe that a
multiple of around 14 x EBITDA (2013) represents an attractive valuation
given the quality of Diana's product and customer base, its high margin
characteristics, and the future growth prospects of the business."

The joint activities of Diana and Symrise generate pro forma sales of
nearly EUR 2.3 billion with an EBITDA margin of more than 20 %. The
acquisition will create a unique and highly competitive platform which will
allow Symrise to capitalize on market opportunities at an accelerated pace,
intensify business with global key accounts and consumer goods companies
and gain additional market share.

Diana to capitalize on global infrastructure and R&D platform of Symrise

With its global network and the particularly strong footprint in Emerging
Markets, Symrise will enhance Diana's regional presence in key growth
regions. In addition, Diana will benefit from Symrise's strong R&D
capabilities in flavors, consumer health and life essentials, which will
advance innovations in these key business segments.

"We are proud to have accompanied Diana and its management team for the
last seven years, which have seen the company transform into a world leader
in natural food solutions and palatability enhancers for Pet Food. As a
globally leading F&F company, Symrise is an ideal owner for Diana to
continue developing and growing its business", said Philippe Poletti, Head
of Mid Markets Enterprise Capital, Senior Managing Director Ardian.

Stamford Partners LLP acted as sole financial advisor to Symrise on the
transaction.


About Symrise:

Symrise is a global supplier of fragrances, flavorings, cosmetic active
ingredients and raw materials as well as functional ingredients. Its
clients include manufacturers of perfumes, cosmetics, food and beverages,
the pharmaceutical industry and producers of nutritional supplements.

Its sales over EUR 1.8 billion in 2013 place Symrise among the top four
companies in the global flavors and fragrances market. Headquartered in
Holzminden, Germany, the Group is represented in over 35 countries in
Europe, Africa, the Middle East, Asia, the United States and Latin America.

Symrise works with its clients to develop new ideas and market-ready
concepts for products that form an indispensable part of everyday life.
Economic success and corporate responsibility are inextricably linked as
part of this process. Symrise thus takes sustainability into account in
every part of its corporate strategy. The company was awarded the German
Sustainability Award in 2012. Symrise - always inspiring more.


About Diana

Diana is a world leader in natural functional solutions for the food, pet
food, nutraceuticals, aquaculture and cosmetics industries, and technology
leader in plant cell culture, dedicated to the production of active
ingredients for food, cosmetics and health. Diana is improving the
sensorial and nutritional performance of its customers' products thanks to
its unique biosciences expertise and helping them conquer new markets.

Media Contact Symrise AG 

Bernhard Kott
Phone +49 (0)5531 90-1721
bernhard.kott@symrise.com

Investor Contact Symrise AG:

Tobias Erfurth
Phone +49 (0)5531 90-1879
tobias.erfurth@symrise.com


End of Corporate News

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12.04.2014 Dissemination of a Corporate News, transmitted by DGAP - a
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Language:    English                                                
Company:     Symrise AG                                             
             Mühlenfeldstraße 1                                     
             37603 Holzminden                                       
             Germany                                                
Phone:       +49 (0)5531 90 0                                       
E-mail:      ir@symrise.com                                         
Internet:    www.symrise.com                                        
ISIN:        DE000SYM9999                                           
WKN:         SYM999                                                 
Indices:     MDAX                                                   
Listed:      Regulierter Markt in Frankfurt (Prime Standard);       
             Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover,  
             München, Stuttgart                                     
 
 
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