Bovaer manufacturer to sell animal nutrition and health division

Bovaer, the firm's methane-inhibiting ruminant feed additive, have been excluded from the deal and will remain within dsm-firmenich.

Bovaer manufacturer dsm-firmenich has announced plans to sell its Animal Nutrition and Health (ANH) business to private equity firm CVC in a €2.2bn deal.

The transaction includes a potential €500m earn-out, dependent on future performance, with dsm-firmenich retaining a 20% equity stake in the divested business.

A spokesperson said the move marked the “final strategic step” in the company’s transition to a more focused consumer business spanning nutrition, health and beauty.

The announcement comes amid heightened public and political scrutiny of methane-reducing livestock feed additives, including Bovaer, in several European markets.

However, Bovaer® and Veramaris™, a marine algal oil used as an alternative source of omega-3, have been excluded from the deal and will remain within dsm-firmenich.

The announcement follows the €1.5bn sale of the group’s feed enzymes activities to Novonesis in 2025, bringing the total value of its animal nutrition divestments to €3.7bn.

The company also plans to launch a €500m share buyback programme by the end of March 2026.

ANH is a global supplier of animal nutrition and health products, including vitamins, premixes and feed additives used across livestock production systems. The business generated annualised net sales of about €3.5bn in 2025 and employs about8,000 people worldwide.

Under the deal, ANH will be split into two standalone companies based in Kaiseraugst, Switzerland: a “Solutions Company”, covering performance solutions, premix and precision services, and an “Essential Products Company”, encompassing vitamins, carotenoids and aroma ingredients.

Commenting on the announcement, dsm-firmenich chief executive Dimitri de Vreeze said the transaction marked the completion of the group’s strategic roadmap and would allow ANH to “thrive and realise its full potential” under new ownership.

CVC managing partner Steven Buyse said the firm saw “significant potential for value creation” in the two new businesses, describing them as future leaders in the global animal nutrition and health market.

The transaction is expected to complete by the end of 2026, subject to regulatory approvals and employee consultation processes.