DSM-Firmenich is nearing an agreement to divest its Animal Nutrition and Health business to private equity firm CVC Capital Partners, Bloomberg reported, citing unnamed sources. The deal could be announced within days and is thought to carry a valuation near €2.2 billion, or around $2.6 billion.
Under the emerging framework, DSM-Firmenich would not necessarily exit the business entirely. The company is likely to keep a stake in the unit as part of the transaction, though the exact ownership split and other structural details are still being negotiated.
Those involved in the discussions cautioned that, while talks appear advanced, the transaction remains subject to change. Observers note that even deals that reach this stage can still fall apart or be delayed - a relevant consideration given that earlier rounds of talks previously stalled.
The potential sale follows a competitive process that narrowed considerably by the summer of 2025. At that point, Dutch financial daily FD reported that CVC was the only remaining bidder, a claim DSM-Firmenich's CEO Dimitri de Vreeze publicly dismissed during a conference in September 2025.
Subsequently, Bloomberg reported in September that DSM-Firmenich had invited Apollo Global Management back into the running, creating what was described as a two-party contest between CVC and Apollo for the animal health business. The current reporting indicates that CVC has moved to the forefront of that contest.
From a product and market perspective, the arrangement—if completed with DSM-Firmenich retaining a stake—would allow the company to preserve exposure to the animal nutrition segment while monetizing a significant portion of the asset. The structure also reflects private equity interest in specialized, higher-margin business lines within larger industrial portfolios.
For now, the terms noted in reports - including the approximate valuation and the prospect of retained ownership - remain subject to final agreement. Both the ultimate timetable for any announcement and the final contractual terms could change as negotiations conclude or in response to external developments.
Key points:
- DSM-Firmenich is reported to be close to selling its Animal Nutrition and Health division to CVC Capital Partners for about €2.2 billion ($2.6 billion).
- The company is likely to retain a stake under the proposed arrangement, though precise terms are still being negotiated.
- The sale follows a competitive process that had narrowed by summer 2025, with Apollo Global Management later re-entering the bidding per earlier reporting.
Risks and uncertainties:
- Despite advanced talks, the transaction could still collapse or be delayed - a risk stemming from prior rounds of stalled discussions.
- Final ownership structure and valuation are not yet fixed; negotiations could produce different terms than those currently reported.