The company, known for its expertise in yeast, bacteria, and baking ingredients, is diversifying its portfolio through a combination of capital investments and strategic acquisitions.
In an announcement on November 16, 2023, Lesaffre revealed its commitment to strengthening its foothold in the U.S. market.
The expansion initiative encompasses both the introduction of new equipment and a robust focus on research and development.
One of the key investments includes the addition of a 10th fermentor at the Red Star Yeast, LLC yeast plant located in Cedar Rapids, Iowa. This move underlines Lesaffre’s dedication to enhancing its yeast production capabilities, a crucial component of its business.
Simultaneously, the company has invested in a new dryer at the same plant, catering to the growing demands of its Phileo business unit, which is dedicated to animal nutrition and health.
Lesaffre’s strategic vision goes beyond conventional boundaries, as evidenced by its recent acquisition of capabilities from a Massachusetts-based bioscience company specializing in naturally derived molecules for human health benefits.
This strategic move aligns with Lesaffre’s broader agenda to diversify and broaden its research and development capabilities.
The acquired capabilities will be integrated into Lesaffre’s Institute of Science and Technology, a hub for cutting-edge research and innovation. The incorporation of these capabilities is expected to bolster Lesaffre’s expertise in metabolic engineering through its entity, Recombia Biosciences.
The expansion will culminate in the opening of new laboratories later this month, underscoring Lesaffre’s commitment to staying at the forefront of technological advancements in the biotechnology sector.
These strategic investments position Lesaffre to capitalize on emerging opportunities in the U.S. market. As the company diversifies into new sectors and reinforces its capabilities, these initiatives reflect Lesaffre’s proactive approach to meeting evolving consumer demands and staying ahead in the dynamic landscape of nutrition, health, and biotechnology.
Elsewhere, Lesaffre acquired a 10% stake in Yeap, an Israeli startup developing proteins from upcycled yeast in September to advance its portfolio of functional offerings.
“We want to be the yeast downstream collector of the industry. Our relationship with Lesaffre started a while back, as they are one of the largest yeast producers, regarding several potential collaborations that will allow us to bring our functional protein to the market, but the first step is the investment,” said Jonathan Goshen, CEO of Yeap.