Balchem acquires MSM specialist Bergstrom Nutrition to expand market reach
31 Aug 2022 --- New York-based Balchem Corporation is announcing the acquisition of methylsulfonylmethane (MSM) manufacturer Bergstrom Nutrition, based in Vancouver, Washington.
Used in a wide range of areas such as joint health, skincare, beauty, healthy aging, pet health and sports nutrition, MSM as a nutritional ingredient shows strong evidence for being beneficial for these areas, Balchem notes.
“As the MSM market leader, Bergstrom Nutrition has excelled in advancing the science and presence of MSM globally. The addition of OptiMSM – MSM by Bergstrom – to our portfolio provides a synergistic scientific advantage in Balchem’s key strategic therapeutic focus areas such as longevity and performance,” says Ted Harris, chairman, CEO and president of Balchem.
“It is a strong fit with Balchem’s specialty, science-backed mineral products, and we look forward to expanding marketplace opportunities together,” he adds.
“Following the acquisition, Bergstrom Nutrition will be included in Balchem’s Human Nutrition and Health business segment and integrated into the Minerals & Nutrients business unit,” Balchem notes.
Joining “robust portfolio”
Balchem looks to drive organic growth through market penetration, demand creation and geographical expansion.
OptiMSM has previously demonstrated beneficial effects on aging and boosting effects on the skin, according to a study published in the International Journal for Vitamin and Nutrition Research. It was shown to preserve the building blocks for hair, skin and nails – keratin and collagen.
“OptiMSM aligns well with Balchem’s already robust portfolio and complements their strategic health benefit platforms. Joining Balchem allows for accelerated growth and market reach, and we look forward to working together with the Balchem team,” says Adrian Polliack, president and CEO at Bergstrom Nutrition.
Earlier this year, Balchem acquired Norwegian Kappa Bioscience, specializing in vitamin K2. The acquisition was motivated by Balchem to “make the world a better place” and the strategic fit for vitamin K2 in that regard.
Further expansion ahead
Balchem recently released its forward-looking statement for the remaining annual year.
The company highlights its aim of “building scale, adding adjacent capabilities, expanding market and geographic reach, broadening our portfolio of solutions, investing in new science, enabling market awareness.”
Additionally, they look to drive organic growth through creating new demand by innovation, penetrating the market, launching new products, and expanding geographically and throughout different markets.
In June, Balchem presented a 20% increase in sales on a year-to-date basis, adjusted EBITDA of 14.8% and adjusted net earnings of 15.2%. In the previous year, they saw a 13.6% increase in sales, 8.9% adjusted EBITDA and adjusted net earnings of 8.2%.
Edited by Beatrice Wihlander
