European asset manager Ambienta has acquired seasonings manufacturer TasteConnection with sights set on growth in clean label flavors across Europe. The move will scale up Ambienta’s subsidiary Nactarome (previously AromataGroup), a mid-market player specializing in natural food flavors, colors and ingredients. 

Financial terms of the transaction have not been disclosed. 

The deal marks Nactarome’s entry into the UK and European natural seasoning market, as well as the growing British and international snacks playing fields, which are driven by the long-term clean label trend.

TasteConnection’s seasonings and flavor solutions are pegged as a complementary “flavoring block” to Nactarome’s top-notes product portfolio, as they combine flavors with blends forming aromatic solutions.

“By joining the group, we’ll be able to strengthen our focus on sustainable, natural ingredients,” says Andrew Sainsbury, co-founder of TasteConnection.

“We have ambitious growth plans for TasteConnection. This move was the logical next step in securing our future and ability to provide our customers with cost-effective seasonings and provenanced ingredients.”

FoodIngredientsFirst has reached out to both parties for further insights into the deal.

Strategic foray into snacks and ready meals
Founded in 2002, TasteConnection has a strong presence in the handmade chips and ready meals markets.

It also holds a client base of more than 70 of the largest UK snacks producers and food brands, as well as a variety of niche UK brands.

The company is headquartered in Gloucestershire, England and its manufacturing site is close to Nactarome’s facility, creating an opportunity to develop an industry hub in the UK for showcasing new innovation developments.

“We are excited that TasteConnection has joined Nactarome, as we continue our international growth in the natural flavors and food ingredients industry,” says Dr. Hans Udo Wenzel, founder of AromataGroup and executive chairman of Nactarome.

“We look forward to developing the leading-edge flavoring and seasoning solutions of our new group member, not only in the UK but also in many other geographies wher Nactarome operates.”

Revenues in excess of €120 million
This is the fourth add-on acquisition by Ambienta in more than two years, as it continues to build Nactarome.

With the support of Ambienta, Nactarome has grown its revenues in excess of €120 million (US$142.8 million).

The company has spread its manufacturing footprint to twelve specialized plants in Italy, the UK, France and Belgium, and built a diversified customer base of over 4,200 clients served across more than 100 countries.

Last year, Ambienta acquired a majority stake in France-headquartered Nactis Flavours Group through Nactarome.

Clean snacks revolution
The snacks and seasonings markets, in line with the overall food industry, are being significantly impacted by strong, long-term sustainability trends, as demand is radically shifting towards more natural and healthier products.

The clean label trend is among the biggest drivers of growth in the snacks industry.Clean label, which means making a product using as few and as “wholesome” ingredients as possible, is one of the biggest trends in the food industry and is also the biggest driver of growth in the snacks industry.

In the UK, for example, Ambienta highlights that the overall food industry grew by 1.8 percent per year, between 2015 and 2020. Meanwhile, the clean label sector grew over four times as much during the same period, by 7.5 percent per year.

Ambienta continues to capitalize on this growth trend, with targets of scaling up Nactarome’s natural ingredients across Europe.

“It remains our firm belief that natural ingredients represent solid long-term growth drivers in the food industry in Europe,” says Mauro Roversi, partner and chief investment officer at Ambienta.

“TasteConnection represents a fantastic opportunity for Nactarome to capitalize on these trends whilet also ensuring the group continues to grow in the UK market and deliver financial and sustainability returns for our investors.”