Earlier this year, Novozymes and Chr. Hansen completed their merger and officially established Novonesis.
Today, Novonesis operates 38 R&D centres and 23 manufacturing sites, it employs around 10,000 staff, and will aim to record annual revenue of approximately €3.7 billion as well as 6-8% annual organic growth. The combined animal nutrition and health activities is now regrouped in the new "Planetary Health Biosolutions" business unit, under 'Agriculture, Energy & Tech'.
Providing an outlook to Feedinfo, Tina Sejersgaard Fanø, who is Executive Vice President (EVP), Planetary Health Biosolutions at Novonesis said that her company is well positioned in both the animal nutrition and the silage industry. “Through strong collaborations, market penetration and innovation, it is our ambition to continue to grow.”
“While legacy Novozymes has been driving the business through strong global partners, legacy Chr. Hansen has a broader footprint. Novonesis will use both avenues for future growth. While we will deliver to the cost synergies, our primary focus is on growing the business in a sustainable manner,” Fanø explained. “The annual revenue synergies for the combination of Novozymes and Chr. Hansen across areas are estimated at EUR 200 million with an EUR 80-90 million EBIT impact achievable within four years of completion, and there are significant revenue synergies in the animal space where cross selling and stronger footprint play an important role.”
“There is a great match between the two legacy companies, bringing together expertise in both animal nutrition enzymes, silage inoculants and probiotics … Animal Biosolutions is an important and integrated part of Novonesis.”
Asked if any overlaps in the combined Animal Biosolutions activities were identified, Fanø said that there are very few and that Novonesis is bringing together two complimentary technology platforms with enzymes and microbes, with a unique library of commercial strains – both in size, complexity, and accessibility.
“By combining the two companies, we will have better global coverage and the ability to utilize resources across the two portfolios,” she said. “Also, the combination will bring critical mass to smaller geographies. As examples, our footprint for supporting our partners and reaching new partners in the silage industry will increase in Novonesis compared to stand alone Chr. Hansen, and new pathways to market for legacy Novozymes probiotics outside of current partners opens with the combination.”
