Archer Daniels Midland Company (ADM) has reached an agreement to acquire Florida Chemical Company (FCC), a division of Flotek Industries (FTK), one of the world’s largest providers of citrus oils and ingredients. The deal was $175 million in cash and is expected to close in the first quarter of 2019.

“ADM is already a leader in natural flavors for food and beverages, offering a wide variety of high-value products and solutions in areas such as vanilla and mint, and this acquisition will place us in a leadership position for citrus flavors as well,” Vince Macciocchi, president of ADM’s Nutrition business unit, said in a statement. “Citrus is one of the fastest-growing flavor categories, and the single most important taste profile for beverages, and no one in North America does citrus better than Florida Chemical Company.”

According to Jackie Anderson, Manager, Global Media Relations, ADM, the global citrus flavors market is estimated at more than US$8 billion and is anticipated to grow at close to 5 percent CAGR between now and 2025.