December 2, 2021

By Lynda Kiernan-Stone, Global AgInvesting Media

Building on its long history of partnering with founder or family-owned companies, Paine Schwartz Food Chain Fund V (Fund V) has entered into an agreement to acquire a 50 percent stake in Hendrix Genetics, along with its affiliated co-investors. 

In connection with the transaction, investment firm NPM Capital, which has been a shareholder in Hendrix Genetics since 2015, will sell its minority interest, and co-founders of the company, Thijs Hendrix and Antoon van den Berg, will maintain ownership of the remaining 50 percent of the company.

“This strategic investment in Hendrix Genetics is directly aligned with our long-term thesis of identifying companies that sustainably increase productivity in the production of agriculture commodities, which is required to feed an ever-growing global population,” said Kevin Schwartz, CEO, Paine Schwartz. “We are pleased to be joined in this investment by co-investors who also recognize the significant value creation opportunity ahead for Hendrix Genetics and its data and technology-enabled breeding programs.”

Founded in 2005 in Boxmeer, The Netherlands, Hendrix Genetics is a multi-species animal genetics tech company with breeding programs for turkeys, laying hens, traditional poultry, swine, salmon, trout, and shrimp.

With operations in more than 25 countries, the company offers the animal protein value chain innovative and sustainable generic solutions through its global portfolio of 15 leading brands including Hybrid, ISA, Dekalb, Bovans, Shaver, Babcock, Hisex, SASSO, Hypor, Kona Bay, Troutlodge, and Landcatch, among others.

Commenting on the investment Thijs Hendrix said, “We are excited to partner with the Paine Schwartz team to build on our strong foundation and further grow by continuing to develop innovative solutions for the animal protein sector that meet the challenges of food production.”

Hendrix went on to outline how the strategic investment will enable the company to grow geographically while also continuing to be a leader in its field, stating, “Following NPM Capital’s investment in 2015, this new investment from Paine Schwartz will help us to further accelerate growth through expansion into new markets and sustain our leadership in technology and R&D. This will result in driving the rapid improvement of genetics and breeding along with fundamental gains in genetic improvement for our customers.”

Paine Schwartz also brings experience in upstream segments of genetics and animal health and nutrition, having prior or existing partnerships with companies such as SNFL, Advanta, Seminis, Verisem, and Axiota Animal Health.

Hendrix noted, “In Paine Schwartz, we are also gaining a partner that brings expertise in genetics and animal health and a shared commitment to addressing the needs for sustainable food chain solutions. We look forward to working closely with their team as we partner with other leading animal genetics and breeding companies, grow our business and provide the high-quality animal genetics upon which our customers and partners across the food chain rely.”

This transaction is expected to close by the end of Q1 2022, at which time the company’s management team will continue to be led by CEO Jolanda van Haarlem and will operate the business with support from co-founder, president, and chairman of the supervisory board Thijs Hendrix, and co-founder and supervisory board member Antoon van den Berg.

“We are excited about this investment, which we believe will accelerate our next phase of growth and success,” said Jolanda van Haarlem. “Thanks to the vision of Thijs and Antoon and the efforts of our team, we are proud to be a trusted partner to our valued customers as we create a brighter future with better breeding.”

“We look forward to investing progressively in our breeding programs with a continued focus on technology and data, growing our global customer base, and expanding our market share to sustain a leadership role in setting the standard for sustainable animal breeding.”

– Lynda Kiernan-Stone is editor with GAI Media, and is managing editor and daily contributor for Global AgInvesting’s AgInvesting Weekly News and  Agtech Intel News, as well as HighQuest Group’s Oilseed & Grain News. She can be reached at lkiernan-stone@globalaginvesting.com.