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Danisco Shuffles Production, R&d

Moves follow acquisition of enzymes producer Genencor

by Michael McCoy
September 8, 2005

Danisco is closing a plant and reorganizing its R&D efforts in the wake of its April acquisition of the enzymes producer Genencor.

The Danish food ingredients firm will close a Genencor enzymes facility in Beloit, Wis., that employs about 100 people. Half of the employees will be offered jobs at other Danisco/Genencor sites, including Cedar Rapids, Iowa, where most of the plant’s output will be shifted. The shutdown of the plant, which Genencor obtained in its 2002 acquisition of Enzyme Bio-Systems, will be complete by the end of 2007, the firm says.

At the same time, Danisco is merging its R&D organization with that of Genencor under a “center of excellence” model. Danisco R&D locations in Brabrand and Copenhagen, Denmark, will focus on the food and feed markets, while Genencor sites in Leiden, the Netherlands, and Palo Alto, Calif., will concentrate on industrial enzymes.

Danisco says the combination of its current capabilities with the technology organization of Genencor will “increase Danisco’s competitiveness in this fast-moving field and speed up the development of new products.” About 26 positions will be eliminated across the four sites, the company says.

Danisco earlier scaled back a Genencor push into the health care field.


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