What is specialized knowledge worth to the right buyer of a business? That question became very real when ISI Food Protection ApS was looking for a new owner.

Specialized knowledge led to regulatory approval

The owners, husband and wife Dieter and Anne Elsser-Gravesen, have spent 17 years building the company, developing unique expertise in specialized microbiological testing and development in the food industry.

ISI Food Protection does more than just test whether a food product meets specific requirements. The company’s specialists can go a step further and investigate why a product behaves the way it does and how the manufacturer can, for example, modify the ingredients or production process to solve a specific problem.

This enables ISI Food Protection to assist food manufacturers with complex challenges that require advanced testing, development, and in-depth microbiological expertise.

In fact, the company's specialized expertise is so critical that the transaction had to be approved by the authorities.

In dialogue with the major global players

At the same time, there is currently widespread consolidation taking place within the TIC industry (testing, inspection, and certification). Consequently, Business Brokers ’s market survey revealed significant interest in acquiring the company, which has approximately 20 skilled employees in Aarhus.

“We’ve been in touch with all the major global players in this market. Several of them have used ISI Food Protection as a subcontractor for particularly complex projects, and they were well aware that it was a valuable company with great potential and expertise that they themselves did not possess,” says Klaus Termansen.

Chose an advisor who understands the unique value

Klaus Termansen and Michael Vadgaard Jørgensen from Business Broker served as consultants for ISI Food Protection. Anne Elsser-Gravesen has been very pleased with their work.

“We had no doubt that we needed professional help with the sale of our company if we wanted to secure a good deal. After all, the potential buyers of our company are major international players,” she emphasizes.

Anne and Dieter Elsser-Gravesen spoke with several advisors and decided to go with the ones they felt most comfortable with.

“Our company is pretty niche, but Business Broker understood us and the value we brought to the table, and they knew the kind of buyers who would be a good fit for us,” says Anne Elsser-Gravesen.

Eurofins offered the best future

After narrowing down the field of interested buyers, the choice fell on the large international group, Eurofins. Organizationally, ISI Food Protection will now become part of Eurofins Food Denmark Holding ApS, along with four other laboratories.

Eurofins was the buyer that offered the best future for both the company's development and Anne and Dieter Elsser-Gravesen, who will both remain with the company in the same roles as before.

“It was important for us to find a buyer who would continue working with us without making a whole lot of changes, and who could also offer a reasonable valuation,” says Anne Elsser-Gravesen, emphasizing that they have no plans to stop for the time being.

She is also pleased that they have succeeded in finding a new owner who can invest even more in innovation and ensure the continued development of ISI Food Protection so that it can grow larger and stronger.

“We’ve secured what’s close to the best deal possible because we had professional help. Business Broker was very constructive in helping us understand the process, carry it out efficiently, and achieve the best possible outcome,” she says.

Unique skills are a competitive advantage

Business Broker points out that ISI Food Protection’s value lies not only in its historical results. The potential for future growth opportunities, synergies, and innovation, with Anne and Dieter Elsser-Gravesen in key roles, was also a major factor for the strategic buyers.

“The unique capabilities that ISI Food Protection has built up are something the major players have had to purchase until now. It is of great value to a company to have these capabilities in-house, and we have leveraged that fact to foster healthy competition among the most serious potential buyers,” explains Michael Vadgaard Jørgensen.