Kerry Group plc announced it is to acquire certain trade and assets of Chr Hansen’s global enzyme business and 100% of a Chinese subsidiary of Novozymes for €150m, subject to European regulatory approval.

The deal arose due to competition concerns raised following the announced merger of Chr Hansen and Novozyme.

The companies said last month that a buyer had already been found for the assets, which were carved out of the merger to allay those regulatory concerns.

Kerry said the deal further enhances its “biotechnology solutions capability following the acquisitions of c-LEcta and Enmex”.

The plc paid €137m for Germany-based c-LEcta in early 2022 and €62m for Mexican enzyme manufacturer in December 2021.

Kerry said the acquisition is expected to be completed in the first half of next year.

Approval

The European Commission published its approval for the merger between Chr Hansen and Novozymes on Tuesday.

The carve out of the lactase business was the only condition placed on the merger by the European Commission.

European executive vice-president in charge of competition policy Margrethe Vestager said: “The divestiture of Chr Hansen's lactase activities together with production assets will ensure that its pipeline project can come to market and preserve competition in the highly innovative biotech sector.”

Kerry plc’s share price was little moved by the news of the acquisition.