International Flavors & Fragrances Inc. (NYSE: IFF) (Euronext Paris: IFF) and Frutarom Industries Ltd. (TASE: FRUT) (LSE: FRUTg) today announced that Frutarom shareholders voted to approve the proposed combination of Frutarom and IFF at the special general meeting of Frutarom shareholders that was held yesterday. Of the votes cast at the special general meeting, 94.6% percent were in favor of the proposed merger, representing approximately 74.7% percent of all outstanding shares.
“We are pleased that Frutarom shareholders have approved the combination with IFF, marking another milestone on our path to unlock the value creation potential of the combined company,” said IFF Chairman and CEO, Andreas Fibig. “Together, IFF and Frutarom will become a global leader in taste, scent and nutrition, with a broader customer base, more diversified product offerings and increased market penetration. Through our integration planning work, we continue to be confident in the opportunities that lie ahead and the ability of the combination to accelerate profitable growth, enhance free cash flow and generate greater returns for IFF shareholders.”
Ori Yehudai, President and CEO of Frutarom, said, “We appreciate the support from our shareholders as this transaction represents a landmark moment for Frutarom, delivers significant and immediate cash value to our shareholders and provides an opportunity to participate in the substantial potential upside of the combination. We continue to work closely with IFF's management team to ensure the successful completion and integration of our two great companies, and we look forward to driving growth by capitalizing on the best of both organizations.”
Upon the closing of the transaction, Frutarom’s shareholders will receive for each Frutarom share $71.19 in cash and 0.249 of a share of IFF common stock. The transaction remains subject to clearance by the relevant regulatory authorities and other customary closing conditions, and is expected to close in the fourth quarter of 2018.