National Agri-Marketing Association
NAMA Website
Upcoming Events
Chapters
Agri-Marketing Conf
Best of NAMA 2018
Member Directory












MARS TO ACQUIRE HEALTH FOOD PROVIDER FOODSPRING FROM FONTERRA
Source: Global AgInvesting news release

Mars has agreed to acquire a majority stake in German functional food company foodspring from Fonterra, which has stated that it will see a gain of US$43 million through the sale.

Once the deal closes, foodspring will become part of Mars Edge, the company's new health and wellness unit founded in 2017, and will continue to operate as a standalone business. Throughout its years with Fonterra, foodspring operated as part of the cooperative's Sports and Active Lifestyle business unit.

"...the partnership gave us immediate and direct access to the fast-growing consumer Sports and Active Lifestyle segment," Kelvin Wickham, COO, Fonterra, told Dairy Reporter. "This is not just about professional athletes or bodybuilders anymore. Today it's about everyday people taking more interest in their health and wellbeing, living longer and leading more active and healthier lives."

Founded in 2013 by Philipp Schrempp and Tobias Schüle, along with their financial co-founding partner ECONA AG, foodspring's business mission follows the principle that "the right food is the key for a fitter, happier, and more productive life".

As a premium brand, the company's portfolio includes protein shakes, snacks and bars, muesli, porridge, beverages, cooking solutions, and supplements that target consumers looking to enhance sports performance, healthy living, and shape.

"We started foodspring because we realised that there was room to innovate the functional food category and better serve consumers for whom fitness and health were central parts of their lifestyles," said Phillip Schrempp, founder and CEO, foodspring. "And once we had started the business we soon discovered that nutrition didn't mean you have to compromise on taste and convenience."

In addition to its food and beverage products, foodspring also offers a food and fitness platform able to customize and personalize consumer experiences with the help of its stand-alone content site that has features such as "Coach", "The Magazine", the "Body Check" recommendation engine, and access to nutritionists via its service team.

Today, the company stands as one of the largest and fastest growing targeted nutrition names in Europe, conducting business six focus countries, and a team of 130. And having built its business to be a leader in the category ideally positions foodspring to benefit from significant expected growth.

The global personalized nutrition market is expected to see annual growth exceeding 9 percent between 2018 and 2025, according to Grand View Research, driven by the fact that 71 percent of millennials are looking to improve their health, and 65 percent of overall consumers are seeking foods that offer functional benefits, according to a study conducted by food ingredients company Kerry.

"When we started Mars Edge, we set out to connect the food you want with the nutrition you need," said Jean-Christophe Flatin, president, Mars Edge. "Over the past six years, foodspring has been at the forefront of doing just that."

"We share the same vision to improve the way people live through nutrition," continued Flatin, "...and together we will use foodspring's expertise across digital know-how, branding and food innovation to build one of the leading platforms in this space."

For Mars, which is mostly known for being a giant in the global candy category, the deal for foodspring, which is expected to close in the third quarter of this year, will give it access to valuable information on consumer needs and the high growth-potential segment of personalized nutrition. However, Mars has much to offer foodspring as well, given the company's long history and legacy identity.

"We are looking forward to accelerating the growth of our business by drawing in Mars' global infrastructure, marketing and science capabilities, as well as its expertise in quality and food safety," said Schrempp.


Search News & Articles























Proudly associated with:
American Business Media Canadian Agri-Marketing Association National Agri-Marketing Association
Agricultural Relations Council National Association of Farm Broadcasters American Agricultural Editors' Association Livestock Publications Council
All content © 2019, Henderson Communications LLC. | User Agreement