Dive Brief:
- Ingredion has agreed to buy potato starch producer Penford Corp. for $340 million in cash.
- The deal gives Ingredion, best-known as a maker of high-fructose corn syrup, control of six U.S. plants that manufacture starches for food and industrial use.
- The deal comes just days after Ingredion signed a deal to become the exclusive distributor of natural foaming agents made by Desert King International.
Dive Insight:
Ingredion is moving quickly and deliberately to put some distance between itself and the high-fructose corn syrup industry. Just two years ago the company changed its name from Corn Products International Inc. And who can blame them? High-fructose corn syrup is falling fast in popularity, and booming corn crops don't help with pricing.