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Published April 5, 2021
Published April 5, 2021
Diana Polekhina via Unsplash

Royal DSM, a global science-based company in Nutrition, Health, and Sustainable Living, has reached an agreement to acquire the flavor and fragrance bio-based intermediates business of Amyris.

WHO: Amyris is a science and technology leader in the research, development, and production of sustainable ingredients for the Clean Health and Beauty and Flavors & Fragrances markets. Amyris uses an array of exclusive technologies, including state-of-the-art machine learning, robotics, and artificial intelligence. Their portfolio of consumer brands includes Biossance, Pipette, Rose Inc., JVN, Terasana, and Costa Brazil.

Founded in 1902, Royal DSM is a global, purpose-led, science-based company active in Nutrition, Health, and Sustainable Living. DSM’s purpose is to create brighter lives for all. DSM addresses with its products and solutions some of the world’s biggest challenges while simultaneously creating economic, environmental, and societal value for all its stakeholders—customers, employees, shareholders, and society at large. DSM delivers innovative solutions for human nutrition, animal nutrition, personal care and aroma, medical devices, green products and applications, and new mobility and connectivity. DSM and its associated companies deliver annual net sales of about €10 billion with approximately 23,000 employees.

WHY: The transaction extends DSM’s offerings in Aroma Ingredients with bio-based ingredients for the flavor and fragrance and cosmetics industries.

IN THEIR OWN WORDS: Gareth Barker, President, DSM Personal Care & Aroma Ingredients, commented, “We are pleased that we can extend the offering to our customers with an additional seven important intermediates that will help our flavor and fragrance and cosmetics customers to improve their sustainability profile. These bio-based ingredients provide them with attractive and sustainable additional alternatives.”

“DSM is a critical strategic partner for Amyris and understands the unique capabilities of our technology,” said John Melo, President and Chief Executive Officer of Amyris. “This is our largest strategic transaction to date and further validates the significant value our product portfolio delivers. Consumers are increasingly demanding clean and sustainable chemistry that delivers the highest purity and performance for the products they purchase. Both of our companies are deeply committed to accelerating adoption of clean chemistry across the largest and fastest-growing product categories in the world. This transaction and our first quarter performance are expected to deliver almost half of our total expected sales revenue for the full year 2021.”


  • DSM will acquire the flavor and fragrance bio-based intermediates business of Amyris. The total transaction value is estimated at over $500 million from short- and long-term contributions. The business currently consists of seven intermediate products—four already generating meaningful sales and EBITDA, two just launched, and one under development.
  • DSM will acquire the business for an upfront consideration of $150 million, which represents an estimated 15x EV/EBITDA 2021 multiple. Amyris will share in the EBITDA growth over the period 2021-2024 of certain of the activities (mainly the products just launched / under development), receiving additional earn-outs equal to 9x the realized EBITDA in 2024, which is estimated to result in a total earn-out amount of $100-150 million.
  • DSM and Amyris will continue their R&D partnerships.
  • In recent years DSM acquired Amyris’ farnesene business and technology for nutritional and F&F ingredients, as well as its Brotas (Brazil) biotechnology manufacturing facilities. DSM has been producing several F&F products for Amyris in this facility.
  • BNP Paribas Securities Corp. acted as the exclusive financial advisor to Amyris on the transaction.

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