Oterra announced its intention to purchase Akay in July 2022. Founded in 1995, Akay Group is a leading player in the natural colors and nutraceutical ingredients market. This acquisition is the company’s fourth in under two years and its first within the Asia Pacific region. Based in Kerala, India, Akay has four manufacturing sites in southern India that Oterra will add to its existing production network, as well as 400 employees who will join the team.

The acquisition further strengthens Oterra’s backward integration, mainly in turmeric and paprika. It also provides a strong addition in the nutraceutical ingredients area and will allow the company to offer its customers and market partners a complimentary portfolio to its existing natural food color solutions for dietary supplements.

The two companies have a long-standing connection. Oterra, previously known as Chr. Hansen Natural Colors, was in 1995, part of a joint venture with Akay to produce natural colors from turmeric and paprika. From 2007, Akay continued as an independent company, but Oterra and Akay have kept close ties with each other since Akay was a key supplier to Oterra. Odd Erik Hansen, CEO of Oterra, is excited to welcome Akay’s employees, customers, and market partners. “Akay is a strategic powerhouse in the food ingredients industry and their innovation focus and the expertise the employees bring will be strong additions to Oterra. I look forward to not only offering Oterra’s customers a strengthened natural colors portfolio but also having the opportunity to open the industry’s most comprehensive portfolio to Akay’s existing customers” said Hansen.