Oterra eyes another food-coloring acquisition

The natural food-coloring company Oterra is in talks to purchase the natural pigments business of Diana Food, a subsidiary of the flavor and fragrance firm Symrise. Diana Food extracts colorful compounds from plant sources such as beets, carrots, and spirulina using a water-based process. Oterra, which was the natural colors division of the food science company Chr. Hansen until it was spun off by the private equity firm EQT in March, aspires to be a dominant force in naturally derived pigments. In May, Oterra bought the Spanish pigment maker Secna Natural Ingredients.