ICL Group Strengthens Global Food Ingredients Portfolio with Bartek Ingredients Acquisition
ICL Group Ltd. (NYSE: ICL; TASE: ICL), a global specialty minerals and chemicals company, has announced a definitive agreement to acquire Bartek Ingredients, a leading producer of food-grade organic acids. The transaction marks a significant strategic step for ICL as it deepens its presence in the fast-growing global market for functional food ingredients and reinforces its long-term focus on specialty food solutions and high-value growth segments.
Bartek Ingredients is widely recognized as the global leader in food-grade malic acid and fumaric acid—two essential ingredients used extensively across the food, beverage, confectionery, bakery, and personal care industries. These acids play a critical role in enhancing flavor profiles, improving texture, stabilizing formulations, extending shelf life, and supporting product safety and consistency. As consumer demand continues to shift toward higher-quality, longer-lasting, and more functional food products, the importance of such ingredients has increased substantially.
Founded and headquartered in Ontario, Canada, Bartek serves hundreds of customers and distributors around the world, supplying products to more than 40 countries across North America, Europe, Asia, and other key markets. The company operates the only vertically integrated production facility in North America that manufactures maleic anhydride alongside food-grade malic and fumaric acid. This vertically integrated model provides Bartek with a distinct competitive advantage, offering greater control over raw materials, production efficiency, product quality, and supply reliability—factors that have become increasingly important amid ongoing global supply chain disruptions.
Currently, Bartek generates approximately $65 million in annual revenue and is in the midst of a major capacity expansion. The company is constructing a new production facility that is expected to be completed in 2026. Once operational, the new facility is anticipated to significantly increase production volumes and enable Bartek to meet rising global demand for functional food ingredients. This expansion is expected to position the business for accelerated growth and increased market share in an industry that continues to attract strong investment and innovation.
According to industry estimates, the global functional food ingredients market is projected to exceed $45 billion in annual sales by 2030, driven by trends such as clean-label formulations, demand for improved taste and texture, extended shelf life, and heightened consumer awareness of food quality and safety. The acquisition of Bartek places ICL in a strong position to capitalize on these trends by expanding its product portfolio and strengthening its ability to serve multinational food and beverage customers with comprehensive ingredient solutions.
Elad Aharonson, president and CEO of ICL, said the acquisition reflects the company’s strategic ambition to accelerate growth in specialty markets. “We are excited to expand our portfolio deeper into specialty food solutions with the acquisition of Bartek Ingredients, a global market leader in functional food ingredients,” Aharonson stated. “This strategic acquisition helps position us for further growth, as we leverage our existing global food presence to expand into other food ingredient segments.”
Aharonson emphasized that the transaction aligns closely with ICL’s recently refined corporate strategy, which prioritizes investment in specialty crop nutrition and specialty food solutions—two areas where the company already possesses deep expertise, established customer relationships, and a global footprint. “This acquisition also advances our strategy, which focuses on significant growth engines where we see strong long-term demand and attractive returns,” he added. “We will continue to seek additional non-organic growth opportunities in these markets, driven by a commitment to creating long-term value and sustainable growth for our shareholders.”
From a strategic perspective, the acquisition enhances ICL’s ability to offer a broader range of value-added ingredients to food manufacturers seeking reliable partners with technical know-how, global scale, and robust research and development capabilities. ICL’s existing strengths in innovation, process optimization, and customer collaboration are expected to complement Bartek’s specialized acidulants expertise, enabling the combined organization to develop new applications and tailored solutions for evolving customer needs.
Andrew Ross, CEO of Bartek Ingredients, highlighted the strong strategic fit between the two companies. “ICL’s position as a leading global manufacturer of ingredients and solutions for the food and beverage industry is very synergistic with our extensive acidulants experience,” Ross said. “We expect to maximize our potential and capture an even larger share of the growing global functional food ingredients market as we leverage ICL’s global scale, technical expertise, including R&D capabilities, and decades of experience.”
Ross added that the partnership will allow Bartek to accelerate innovation, expand into new geographic markets, and enhance customer service by drawing on ICL’s established commercial and operational infrastructure. For Bartek’s customers, the acquisition is expected to provide greater access to advanced technical support, improved supply resilience, and a broader suite of ingredient solutions under a single global partner.
The transaction will be completed in two phases and remains subject to customary closing conditions, including regulatory approvals. The first phase is expected to close during the first quarter of 2026 and will involve a cash investment of approximately $90 million by ICL to acquire around 50% of Bartek Ingredients. This initial investment establishes a strong strategic partnership while allowing for a phased integration approach.
The second phase of the acquisition, which will result in ICL acquiring the remaining shares of Bartek, will be contingent upon the achievement of certain predefined business and integration milestones. The timing and scale of the second-phase investment will depend on operational performance, capacity expansion progress, and the successful integration of the two organizations. This phased structure is designed to manage risk while aligning incentives and ensuring long-term value creation for both parties.
Overall, the acquisition of Bartek Ingredients represents a meaningful step forward for ICL as it continues to transform its portfolio toward higher-margin, specialty-driven businesses. By combining Bartek’s leadership in food-grade organic acids with ICL’s global reach, technical capabilities, and strategic focus on specialty solutions, the transaction positions the company to benefit from powerful long-term trends shaping the global food and beverage industry. As demand for functional, high-quality, and sustainable food ingredients continues to rise, ICL’s expanded specialty food platform is expected to play an increasingly important role in supporting customers and driving shareholder value in the years ahead.
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