DSM in Talks to Acquire Adare Biome

Royal DSM, a global science-based leader in health, nutrition and bioscience, has entered into exclusive negotiations with Adare Pharma Solutions to acquire Adare Biome, a pioneer in the development and manufacturing of postbiotics.

 

The enterprise value is $342 million, according to a press release on the company website.

 

Postbiotics is a rapidly emerging segment of the gut health market with strong projected growth. Unlike the live bacteria in probiotics, postbiotics consist of inanimate microorganisms and/or its cellular components and metabolites that confer a health benefit to the host. A growing body of scientific evidence shows that postbiotics deliver comparable health benefits and are more stable with thereby a longer shelf-life, and can be used in a wider range of applications and in new ingredient combinations.

“DSM would be the ideal company to take Adare Biome to a new level and realize the growth potential of postbiotics,” said Tom Sellig, CEO of Adare Pharma Solutions. “They have the infrastructure and strong commercialization and science capabilities to scale the significant scientific research achieved over the years and DSM’s mission to create healthier lives for all will resonate strongly with the team.”

 

Adare Biome’s origins date back to 1907 when French chemist Dr. Pierre Boucard launched Lactéol. This branded supplement for relieving gut upsets is now available OTC in 35 countries and is one of the most scientifically well-documented microorganism-based therapeutics in the world in terms of efficacy and safety.

 

DSM anticipates rapidly extending the availability of Adare Biome’s Lactéol for people through its B2C unit, i-Health. Further development of the postbiotic B2B ingredient will include additional science development and developing opportunities in dietary supplements, early life nutrition, medical nutrition and nutritional improvement for the undernourished. Adare Biome would also help establish DSM as a frontrunner in the growing microbiome management market for pets and expand its animal health range, where the stability of postbiotics means they can be incorporated into DSM’s premix feed solutions.

 

“Adare Biome would be a perfect fit for DSM, with pioneering science that will complement each of our three businesses,” said Philip Eykerman, DSM’s executive vice president, health, nutrition & care. “The Adare Biome team will greatly help in accelerating our ‘health from the gut’ strategy as there is considerable untapped potential for next-generation biotics to support the health of people and animals.”