Turpaz sets sights on $200 million Japan acquisition as it accelerates global expansion
Bid follows $95 million U.S. acquisition as the Israeli flavors and fragrances group scales its global M&A strategy.
Aiming to diversify its geographic footprint, flavor and fragrance manufacturer Turpaz is seeking to expand into Japan and broader East Asia. Calcalist has learned that the company has submitted a bid in a tender to acquire a Japanese company operating in a segment in which Turpaz is not yet active.
The deal, managed by an international investment bank, is estimated at around $200 million. If Turpaz advances to the binding stage, for which it has already qualified, and ultimately wins the tender, it would mark the largest acquisition in the company’s history, significantly exceeding any of the 27 acquisitions it has completed since 2017.
If completed, the acquisition would represent a major step in Turpaz’s expansion in East Asia. According to estimates, the target company generates approximately $100 million in annual revenue, a scale that could materially shift Turpaz’s geographic revenue mix.
The company has already begun exploring potential financing sources for the deal. However, the tender is competitive, and includes larger companies already active in the Japanese firm’s field, which may submit higher bids.
On Sunday, Turpaz, controlled and managed by Karen Cohen Khazon (38%), reported its largest completed deal to date: the acquisition of full ownership of Phoenix Flavors & Fragrances for $95 million. The transaction also includes a contingent consideration of up to $5 million, subject to future performance, and has been financed from the company’s own resources.
Turpaz develops, manufactures, and markets flavor and fragrance extracts used in personal care, home fragrance, air care, and food and beverage products. In its annual report, the company noted that in 2025 the synthetic segment led market activity, driven by high availability and suitability for industrial applications. The Asia-Pacific region accounted for approximately 40% of the global market, supported by strong demand for personal care products, cosmetics, and fine fragrances, particularly in China, Japan, and India.
Despite the region’s importance, Turpaz’s presence in Asia-Pacific remains limited. In 2025, revenue from the region totaled just $24 million out of overall revenue of $275 million, up from $189 million in 2024.
Geographically, the company remains heavily dependent on Europe, which accounted for $162 million in revenue. The remainder was distributed across Israel and the Middle East ($35 million), Africa ($33 million), and the United States ($20 million). The recent acquisition of Phoenix is expected to significantly strengthen Turpaz’s position in North America, where it anticipates tripling sales.
By segment, the bulk of Turpaz’s revenue, approximately $195 million, comes from flavors, primarily used in food and beverage applications. Fragrances contributed around $50 million, while raw material sales added another $31 million.
In 2025, Turpaz reported operating profit of $43 million and net profit of $22 million. The company operates 26 production sites, along with R&D and sales centers, and markets its products in roughly 90 countries. It employs around 1,000 people.
Turpaz’s strategy, led by Cohen Khazon, combines organic growth with acquisitions, with the stated ambition of positioning the company among the world’s ten largest players in its sector.
Since its IPO in May 2021, Turpaz’s shares have surged by approximately 840%, reaching a market value of NIS 8.6 billion.
