Hampton, NY—Balchem Corporation has signed a definitive agreement to acquire Kappa Bioscience AS. Kappa offers K2VITAL a branded synthetic vitamin K2. Balchem is acquiring Kappa from majority owner Verdane Edda for approximately USD $338M.
“We are thrilled to welcome Kappa Bioscience’s strong and experienced team to Balchem,” said Balchem Ted Harris, Chairman, CEO and President, in the release. “This acquisition accelerates our strategy to expand our portfolio of science-based specialty nutrients with leading positions in growing markets. Vitamin K2 fits squarely with our strategic focus and our vision of ‘making the world a healthier place.'”
According to Harris, Kappa is the only company offering a patented, 99.7% all-trans vitamin K2 as MK-7, identical to the bioactive vitamin K2 molecule found in nature. “We believe the combining of our two companies will strengthen our scientific and technical expertise, geographic reach, and marketplace leadership while ultimately leading to accelerated growth for both companies’ portfolios,” he added.
Deal to Accelerate Kappa’s K2 Platform in U.S.
Looking to the future, Egil Greve, Kappa Bioscience President & CEO, noted: “Our partners can expect continued expert knowledge, scientific excellence, product safety and quality, and customer service as we further strengthen these areas together with Balchem. Our two companies are very complementary to each other. Balchem’s strength in the United States will further accelerate the growth of Kappa’s vitamin K2 platform in that key market. At the same time, Kappa provides Balchem with increased access to European markets.”
Closing of the deal is subject to completion of customary closing conditions. It will be financed through Balchem’s existing revolving credit facility and cash on hand, according to the release.