Agribio Group And Dümmen To Merge

Agribio Group And Dümmen To Merge

Breeding and young plant production companies Dümmen and Agribio Group have announced the intention to merge.

The new company will have two independent divisions. The Dümmen division will be headed by Tobias Dümmen and Perry Wismans, current board members of Dümmen. The North American operations of Agribio Group (including Oro Farms and Ecke) will be brought under the leadership of the Dümmen division. The directors of the two divisions will form the board of the new company together with the current board members of Agribio Group, Roger Gerritzen (CFO), Roger Peeters (director R&D) and Peter Kroeze (Chairman).

The Agribio division will be responsible for cut flowers and pot plants, and the Dümmen division will be responsible for bedding plants and poinsettias. The current brands, like Fides, Red Fox, Barberet & Blanc, Lex+ and Ecke, will still be prominent in the market place going forward. The Agribio division will be headed by Harry Kloppenburg, currently CEO of Agribio Group.

The combined company will have around 6,000 employees worldwide and expects to generate $235 million in sales annually. The Dümmen family and management and H2 Equity Partners will be the shareholders of the new company.

A release from Agribio/Dümmen points to the need for breeding companies of sufficient size to cope with industry developments such as grower consolidation, advanced breeding techniques and the importance of retailers.

The combination will profit from the advanced breeding technologies of Agribio Group and the professional supply chain skills of Dümmen. Based in Germany, Dümmen is known for its poinsettia and spring annuals like geraniums, while Dutch-based Agribio Group is strong in products as chrysanthemum, carnation, rose and Calandiva. Agribio says the intended merger will create a breeding company with a unique international production and sales network. 

“Ever since the company became independent in 2010 we have actively pursued a growth strategy focused on complementing our portfolio and market presence,” says Harry Kloppenburg, president of the Agribio Group. “Because of this merger, we are capable of offering virtually the full range of products in all continents. Hence we have the opportunity to create a unique company, focused on supplying new and differentiating products with a good price/quality ratio to our customers, thereby creating added value to the entire floricultural chain. We are impressed by Dümmen’s deep knowledge of the industry and its category management skills, something we can certainly benefit from.”

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