CVC Capital Partners to buy IFF's Food Ingredients business
Valued at about $4.3 billion, the carveout generated nearly $3.1 billion of 2025 sales and about $430 million of EBITDA.
IFF is carving out its Food Ingredients business, a supplier of texturants, emulsifiers, plant-based solutions and other specialty ingredients for multinational food and beverage customers, to CVC Capital Partners in a transaction valued at about $4.3 billion.
The business generated nearly $3.1 billion of 2025 sales and about $430 million of EBITDA, reflecting an enterprise value-to-EBITDA multiple of about 10x.
IFF will retain an approximately 10% equity interest, hold a board seat in the new company and expects about $3.8 billion of net cash proceeds at closing.
“This transaction represents an important strategic milestone in our ongoing portfolio optimization initiative, allowing us to further concentrate resources on our higher-growth, higher-margin segments,” said Erik Fyrwald, CEO of IFF.
The deal is expected to close by the end of the second quarter of 2027, subject to customary closing conditions and regulatory approvals; J.P. Morgan Securities LLC and BofA Securities are advising IFF, with Skadden, Arps, Slate, Meagher & Flom LLP & Affiliates as legal advisor.