French firm Robertet to invest over €2 million over next 10 years
French firm Robertet S.A., one of the leading natural fragrance and flavours companies in the world, plans to invest between €2 million and €10 million over the next 10 years, its Chief Executive Officer (CEO) Jerome Bruhat has said.
In an online interaction with businessline soon after announcing the acquisition of Bengaluru-based family-owned firm, Sonarome, a leading flavour company in India, he said: “It (the acquisition) is the starting point of a much bigger operation and we want to invest quite massively in India in the years to come because we believe in this market.”
‘All cash deal’
Sonarme, which specialises in the manufacture of flavours and fragrances, has been acquired through an “all cash deal”, he said, without divulging details of taking over the Bengaluru firm that employs over 100 in Karnataka’s capital.
The turnover of the company, renowned for its research and development strategy, its in-depth knowledge of local trends and long-standing relationships with leaders of the sector, was €15 million in 2022. “It is a very decent turnover… It is a complementary acquisition since we had no presence in the flavours sector in India,” Bruhat said.
The acquisition is a family-to-family agreement as both companies are family-owned. “India is a major market for our industry in fragrance and flavours. We have had, in the past, a successful track record on fragrances in India…,” said the CEO of Robertet, founded in Grasse in France in 1850.
Consolidating footprint
In a statement issued on the acquisition, the French firm, listed on Euronext Paris, said the strategic acquisition is Robertet’s sixth external growth operation in five years. “With this takeover, we are consolidating our footprint in South-East Asia, while expanding our industrial capabilities to better serve our customers in the region,” it said.
Bruhat said: “With our unique positioning in natural products, new local industrial capacity and enhanced expertise in flavours, we have all the assets to become a major player in this specific market.”
Robertet, which has been present in India for the past two decades, is trying to make its business presence in India and wants to offer Indian customers “not only fragrances but also flavours”, he said.
The Grasse-based firm will try to create a synergy between Robertet and Sonarome, which has the expertise to cater to local customers and a good understanding of domestic consumers, Bruhat said.
“They (Sonarome) have been able to build a fantastic factory in Bangalore, which can create and serve any kind of flavours. Robertet’s USP is that it is the global number one for natural, which has been the heart of the company for over 173 years,” he said. The Bengaluru firm exports to a few firms in Africa and South Asia.
Huge appetite for naturals
The French firm sources natural ingredients from farmers, and transforms them into ingredients that are sold or included in fragrance and flavours for customers. “We have the broadest range, and, probably, the best naturals in the world,” the company’s CEO said.
Bruhat said Robertet is witnessing a huge appetite for brands with natural flavours. “The world of flavours used to be chemical, but it’s changing rapidly. Ten years ago, even in Europe or the US clients sought 80 per cent synthetics and 20 per cent naturals. Today is the opposite,” he said.
The French firm can muster the full value chain from the farmer to the end products sold to customers. It provides full traceability and all other services around the value chain.
Robertet sells its fragrances and flavours to some of the big and prestigious players in the food and flavours sectors, Bruhat said.