Profile: Innophos Holdings Inc (IPHS.OQ)
5 Dec 2013
Innophos Holdings, Inc. (Innophos), incorporated July 15, 2004, is a producer of mineral-based specialty ingredients with applications in food, beverage, pharmaceutical, oral care and industrial end markets. The Company’s segments include Specialty Phosphates US & Canada, Specialty Phosphates Mexico and GTSP & Other. Specialty Phosphates consists of the products lines Specialty Ingredients, Food and Technical Grade purified phosphoric acid (PPA) and Sodium Tripolyphosphate (STPP)& Detergent Grade PPA. Kelatron is included in the Specialty Phosphates US & Canada segment and in the Specialty Ingredients product line. GTSP & Other includes fertilizer co-product GTSP and other non-Specialty Phosphate products. Its customer base is principally composed of consumer goods manufacturers, distributors and specialty chemical manufacturers. Innophos’s customers manufacture products, such as soft drinks, sports drinks and juices, various food products, toothpaste and other dental products, petroleum and petrochemical products, and various cleaners and detergents. On October 31, 2011, Innophos acquired Kelatron’s holding company, KI Acquisition, Inc. In July 2012, the Company acquired AMT Labs, Inc. In January 2013, the Company acquired the business and assets of Triarco Industries, Inc.
Specialty Ingredients (including specialty phosphate salts, specialty phosphoric acids and a range of other mineral based specialty ingredients) are the products in its portfolio. They have a range of applications, such as flavor enhancers in beverages, electrolytes in sports drinks, texture modifiers in cheeses, leavening agents in baked goods, mineral sources for nutritional supplements, pharmaceutical excipients and abrasives in toothpaste. Specialty phosphoric acids are used in industrial applications, such as asphalt modification and petrochemical catalysis. The Company’s list of main Specialty Ingredients products are Sodium Aluminum Phosphate, Acidic and Basic (SALP), which is a leavening agent for baking mixes, cakes, self-rising flours, baking powders, batter and breadings (acidic); Sodium Acid PyroPhosphate (SAPP), a leavening agent for baking powders, doughnuts, and biscuits; inhibits browning in potatoes; provides moisture and color retention in poultry and meat; Sodium HexaMetaPhosphate (SHMP), which is used as water treatment applications; anti-microbial and sequestrant in beverages; cheese emulsifier; improves tenderness in meat, seafood and poultry applications; Monocalcium Phosphate (MCP), which is used as leavening agent in double-acting baking powder; acidulant; buffering agent; Calcium Acid Pyrophosphate (CAPP), which is used as calcium-based, slow acting, multifunctional leavening acid used in a variety of baked goods; Dicalcium Phosphate (DCP), which is used as toothpaste abrasive; leavening agent; calcium fortification, and Tricalcium Phosphate (TCP), which is used as Calcium and phosphorus fortifier in food and beverage applications (orange juice, cereals, and cheese); flow aid, and additive in expandable polystyrene.
Pharma Calcium Phosphates (A-Tab, Di-Tab, Tri-Tab) is used as excipients in vitamins, minerals, nutritional supplements and pharmaceuticals; Ammonium Phosphates (MAP, DAP), which is used as fertilizer products for horticultural use; flame retardant; cigarette additives, and culture nutrient; Potassium Phosphates (TKPP, DKP, MKP, KTPP), which is used as water treatment; sports drinks; buffering agent; improves tenderness in meat, seafood and poultry applications; horticulture applications; Specialty Acids, which is used as additive improving performance properties of asphalt; Sodium Blends, which is used as Ingredient improving yield, tenderness, shelf life, moisture and color retention in meat, seafood and poultry applications; amino acid salts including calcium, chromium, copper, iron, lithium, magnesium, manganese, phosphorous, potassium, selenium, strontium, vanadium, and zinc, and Other (Sodium Bicarbonate, Tetrasodium Pyrophosphate (TSPP), Mono, Di, & Trisodium Phosphates (MSP, DSP, TSP)), which is used as Baking powders; gelling agent in puddings, and cheese emulsifiers.
Food and Technical Grade PPA
Food and Technical Grade PPA are high purity forms of PPA. PPA is used to manufacture specialty phosphate salts and acids and is also used directly in beverage applications as a flavor enhancer and in water treatment applications. The Company also sells Technical Grade PPA in the merchant market to third-party phosphate derivative producers.
Technical Grade Sodium Tripolyphosphate (STPP) & Detergent Grade PPA
STPP is a specialty phosphate derived from reacting phosphoric acid with a sodium alkali. STPP is a key ingredient in cleaning products, including industrial and institutional cleaners and automatic dishwashing detergents and consumer laundry detergents outside the United States. In addition to its use in cleaning products, STPP is also used in water treatment, clay processing, and copper ore processing. Over 90% of the end use market for STPP is derived from consumer product applications. Detergent Grade PPA is a lower grade form of PPA used primarily in the production of STPP.
GTSP & Other
Granular Triple Super Phosphate (GTSP) is a fertilizer product line produced at the Company’s Coatzacoalcos facility. GTSP is used throughout Latin America for increasing crop yields in a range of agricultural sectors. GTSP is made as a co-product of its purified wet acid manufacturing process.
The Company competes with Israel Chemicals Limited, Potash Corporation of Saskatchewan Inc. and Mexichem, S.A.B. de C.V.
Innophos Holdings Inc
259 Prospect Plains Road
CRANBURY NJ 08512