To expand its Astaxanthin product portfolio
EID Parry, the parent company of Florida, US-based Valensa International, has acquired Chilean company Alimtec.
Dr Rudi Moerck, Valensa's Chief Executive, says the acquisition comes in response to increasing demand for astaxanthin.
'The demand for this remarkable substance has grown to the point where we can no longer be subject to the existing farming techniques to gain access to our important raw materials,' he said.
'We are significantly diversifying our source of supply. This acquisition, along with our production in India, our US-based supply agreements and the development of our ZanthinNEX nature-equivalent form will ensure our ability to include Astaxanthin in a broad range of exciting human health formulations moving into the future.'
Alimtec has been a supplier of high-quality Astaxanthin biomass to Valensa for two years and the acquisition will expand the company's natural Astaxanthin offerings, which include joint health, cardiology and eye health products, the company said.
The acquisition of Alimtec makes good business sense for Valensa and Parry
Alimtec has infrastructure in place to manufacture four times its current production.
Currently, Valensa offers nearly 20 products that include Astaxanthin, with more than 10 that have patents in place.
'The acquisition of Alimtec makes good business sense for Valensa and Parry,' added Moerck.
'This gives us a natural raw material supply in the Southern hemisphere that augments our existing Northern hemisphere sources. As a result, I'm happy to say that the days of force majeure for Astaxanthin suppliers are numbered.
'But access to a steady supply of Astaxanthin is only the beginning of the story. What is exciting is the ability we will have to develop an ever broadening range of clinically studied human health products that feature this ingredient as we move into the future.'
ZanthinNEX is a form of the carotenoid Astaxanthin produced through a proprietary process using a nature-based enzymatic conversion that delivers a product that is 'nature equivalent' but actually purer than conventional Astaxanthin produced via extraction from Haematococcus pluvialis algae, the company said.
Valensa signed two Astaxanthin supply agreements last year with Texas-based Texasta and California-based Contract Bio, and said it would begin offering and formulating ZanthinNEX nature-equivalent Asaxanthan by the end of 2014.