June 4, 2007

Nutreco acquires remaining 40 percent shares in Tenusa Trouw Nutrition Mexico

Press release

Nutreco Holding N.V. announced Jun 1 that it has acquired the remaining 40 percent shares in Tenusa Trouw Nutrition Mexico.

With the acquisition of a majority stake in the family-owned Mexican premix and speciality feed company Tenusa in 2005, both parties agreed that Nutreco would gain full ownership within a defined period.

Juergen Steinemann, Chief Operating Officer of Nutreco, noted, "Gaining 100 percent ownership enables Nutreco to optimise the integration process with the activities of BASF Mexico. Furthermore, it creates the opportunity to make further strategic steps concerning growth in the North-American Free Trade Agreement (NAFTA) markets".

Nutreco has been seeking to increase its presence in NAFTA countries' animal nutrition market, which is the largest in the world.

Tenusa Trouw Nutrition Mexico has a leading position in the Mexican premix and speciality feed market, which stands among the biggest worldwide. The recently announced acquisition of BASF Mexico is expected to strengthen Tenusa's position, making Nutreco no. 2 in the Mexican feed market.

Together, Tenusa and BASF Mexico have three production facilities, with a total annual revenue of about EUR40 million (about US$54.093 million).

Nutreco's growth strategy in animal nutrition focuses on capturing strong market positions in nine countries where the company is already active: Brazil, Canada, China, Germany, India, Poland, Mexico, Russia and the United States.

Since the announcement of its 'Rebalancing for Growth' strategy, Nutreco has acquired animal nutrition and fish feed businesses in Canada, Japan, Mexico, Russia, China, India, Poland, UK, Indonesia, Guatemala, Italy and the US. The company has also established a new feed specialities production facility in Brazil.