Dutch Biochemical Company Sells U.S. Subsidiary
AMSTERDAM, Netherlands (AP) _ The Dutch biochemical company Royal Gist-Brocades NV said Tuesday it will sell a South Carolina-based industrial enzyme subsidiary to management.
Gist-Brocades, one of the world’s largest makers of baking yeasts, antibiotics and enzymes, cited overcapacity in the industrial enzymes market and the unit’s lower than expected profitability as reasons for the sale.
Terms of the sale weren’t disclosed for the management buyout at the Kingstree, S.C. facility.
Under the agreement, Kingstree has full control of its capacity as long as it does not conflict with Gist-Brocades’ core activities of industrial pharmaceutical products, industrial enzymes and food ingredients.
Last month, Gist-Brocades posted a 30 percent jump in 1993 profit to 135.1 million guilders or $71.10 million, from $54.52 million in 1992.
Sales were up 8.1 percent to $894 million from $826 million.