Jennewein signs deal with Chr. Hansen

Jennewein Biotechnologie GmbH agreed to join forces with Chr. Hansen Holding A/S, a leading bioscience company based in Hoersholm/Denmark, to lead the global market for human milk oligosaccharides (HMOs).

Chr. Hansen entered into an agreement to acquire all shares in Jennewein Biotechnologie, the innovation and market leader in this high-growth market. The Danish company plans to invest more than 200 million Euros until 2025 in new production assets so as to meet the increasing demand for HMOs.

HMOs are complex carbohydrate structures found in human breast milk. HMOs are used today as functional food ingredients primarily in infant nutrition and medical nutrition. The functional health benefits of HMOs such as prebiotic effects, reducing infection risk as well as supporting cognitive development are also expected to be of high interest in further food markets. Jennewein Biotechnologie has been the first to commercially produce HMOs by fermentation and commercialize these functional carbohydrates in key markets. Jennewein Biotechnologie has build an unrivaled IP portfolio with more than 200 patents granted, a global customer base, a comprehensive product portfolio and strong product pipeline over the past 15 years.

Read: The promise of human milk oligosaccharides 

The founders and CEOs of Jennewein Biotechnologie, Dr. Stefan Jennewein and Dr. Klaus Jennewein point out: "This partnership will further strengthen the position of Jennewein Biotechnologie in this highly attractive growth market. Chr. Hansen and Jennewein Biotechnologie are a perfect fit with regards to culture, production technology, as well as product portfolio."

"I am truly excited that we have reached an agreement to acquire Jennewein. The fast-growing HMO market is a new area that we have been following with strong interest for some years. In truth we are making a long-term investment and commitment to HMOs, which I am convinced will bring long-term value creation to our shareholders. HMOs also fit perfectly with our purpose to 'Grow a better world naturally,' as these are some of nature's most intricate nutritional components," says Mauricio Graber, CEO of Chr. Hansen.

"With Chr. Hansen as the new owner, Jennewein Biotechnologie is ideally positioned for future growth and expansion. As a partner to Jennewein from the very beginning and long-time investor we are proud to have been part in this success story," states Dr. Erik Hoppe, CEO of Bioventure and Lead Investor of Jennewein Biotechnologie.

Dr. Stefan Jennewein will take the role of Chief Science and Technology Advisor and Dr. Klaus Jennewein will retire from the company.

UBS acted as financial adviser and Hogan Lovells as legal adviser to Jennewein Biotechnologie and Bioventure on this transaction.