Israel's Frutarom buys 51 pct of Brazil's Bremil for $31 mln

TEL AVIV, Dec 20 (Reuters) - Flavours and ingredients maker Frutarom Industries Ltd has agreed to pay $31 million for 51 percent of Brazilian peer Bremil Indústria Ltda, the Israeli company said on Wednesday.

Frutarom’s 12th acquisition this year is expected to be completed in the first few months of 2018 and will be financed through bank debt.

Bremil, which employs 250 workers, had revenue of $47 million in the year to October 31.

The deal includes a mechanism for future payment based on Bremil’s performance in 2017 and 2018. It also includes an option for the purchase of the rest of Bremil starting five years from the transaction’s completion at a price based on performance.

Frutarom has made four acquisitions in the last five years in Brazil and seven in Latin America, which following the deal will account for nearly 15 percent of Frutarom’s sales.

The company said it will seek to expand Bremil’s activity into additional countries in the region.

Separately, Frutarom said it acquired Polish flavours and fragrances company Pollena-Aroma for $8.5 million. (Reporting by Tova Cohen; editing by Jason Neely)