Novo Holdings, the largest shareholder in both Novozymes and Chr. Hansen, said the deal would create a global leader in biosolutions that would capitalize on attractive growth opportunities while serving societal needs.

Novozymes, Chr. Hansen execs discuss the deal

“The combination of two strategically complementary companies with a shared purpose and advanced capabilities will show the world the true power of biosolutions,” said Ester Baiget, President and CEO of Novozymes, in the release. “Today’s announcement is fully aligned with Novozymes’ strategy and is another step towards unlocking additional growth opportunities. Novozymes and Chr. Hansen share the strong conviction that our combined scale, know-how, commercial strengths, and innovation excellence will drive value for our shareholders, customers, and society at large by providing the sustainable solutions the world so urgently needs.”

Mauricio Graber, President and CEO of Chr. Hansen, added, “I’m proud to share that Novozymes and Chr. Hansen are proposing to join forces to create a Danish-based global biosolutions partner based on our strong complementary technology platforms, highly dedicated employees and customer-centric approaches. Building on shared purpose-driven values and cultures, as well as an unquestionable business rationale, the proposed combination of these two iconic Danish companies represents a natural next step towards addressing the needs of tomorrow.”

Kasim Kutay, CEO of Novo Holdings, noted, “As long-term shareholders in both Novozymes and Chr. Hansen, we are in full support of the plans to combine the two companies. Due to our strong belief in the commercial, strategic, and long-term financial merits of this transaction, we are willing to accept a less favorable exchange ratio for our shares in Chr. Hansen than what is offered to other shareholders.”

The future for Novozymes and Chr. Hansen

According to the release, the proposed combination of Novozymes and Chr. Hansen will”

• Create a leading global biosolutions partner with a broad biological toolbox and a diversified portfolio.
• The combined group would have annual revenue of approximately EUR 3.5 billion
• Half of the portfolio will focus on enabling healthier lives and producing better foods.
• Half of the portfolio will address reducing chemical use and targeting climate neutral practices.
• The combined group will operate a global network of 38 R&D and application centers and 23 manufacturing sites
• The group employ approximately 10,000 employees.
• Upon completion of the statutory merger, Ester Baiget, the current CEO of Novozymes, would assume leadership of the combined group as CEO.
• The CFO would be Lars Green, the current CFO of Novozymes.