UK – Tate & Lyle, a global leader in food and beverage solutions, has finalized its US$1.8 billion acquisition of CP Kelco, a nature-based ingredient solutions firm with 90 years of industry experience.
The deal, completed on November 15, sees CP Kelco, join Tate & Lyle’s portfolio. CP Kelco, headquartered in Atlanta, employs approximately 1,700 people across seven manufacturing facilities, two global innovation centers, and nine regional application centers.
As part of the agreement, Tate & Lyle has issued 75 million new ordinary shares to Huber, CP Kelco’s former owner, granting Huber a 16% stake in the company.
Additionally, Huber executives Glenn M. Fish and Cláudia Vaz de Lestapis have been appointed as non-executive directors on Tate & Lyle’s board.
Nick Hampton, CEO of Tate & Lyle, described the acquisition as the beginning of a “new chapter” for both companies.
“We are delighted to welcome our new colleagues from CP Kelco, as well as its customers and partners,” Hampton said.
“With its unique portfolio in sweetening, mouthfeel, and fortification, the combined business is perfectly positioned to meet the growing global demand for healthier, tastier, and more sustainable food and beverages.”
He also acknowledged the contributions of Huber’s team and welcomed the new board members.
In addition to expanding its portfolio, Tate & Lyle is advancing its sustainability agenda. The company is on track to meet its climate strategy goal of sourcing 100% of its electricity for manufacturing from renewable sources by 2025, five years ahead of its original target.
This is being achieved through renewable energy infrastructure, long-term agreements, and Renewable Energy Credits (RECs).
Recent initiatives include a 12-year Power Purchase Agreement with Enel North America and a renewable energy deal with Alabama Power for its sucralose facility.
These efforts are expected to reduce Tate & Lyle’s global Scope 1 and 2 greenhouse gas emissions by over 25% annually compared to 2019 levels.
Hampton reiterated the urgency of tackling climate change, calling it a critical threat to the planet’s future.
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