The two nutraceutical ingredient firms had joined forces in 2002, creating a venture for the manufacture, marketing and sales of human nutrition premix products.
The agreement involved BASF becoming the primary supplier of a broad range of nutritional ingredients to Fortitech for use in a variety of products, including baby formulas, nutrient bars, drinks, and supplements. The ingredients supplied included vitamins, minerals, amino acids, nucleotides, nutraceuticals and other specialty ingredients.
However, the two companies last week announced they had dissolved their joint venture, with Fortitech set to buy all BASF shares. The divestiture extends to all joint ventures throughout Europe, South America and Asia, said the firms.
According to BASF, the move is part of its strategy to "operate efficiently and flexibly" and to position itself as a sustainable ingredient supplier to the food industry.
On its end, Fortitech said it is adjusting the way it does business in Europe, South America and Asia as its customer base in those regions continues to grow.
"The best way to continue to deliver top-notch service that our customers have come to expect from us is to focus on our core strength as a manufacturer of custom nutrient premix systems," said the company's president and CEO Walter Borisenok.
Despite the divestiture of their joint venture, the two companies will continue to work together under a regular supply agreement. BASF will continue to supply nutritional ingredients to Fortitech for use in a variety of custom nutrient blends.
Fortitech said that customers will in no way be affected by the move.
"In terms of the way we do business, there is nothing that will change, everything will be seamless. We have a number of suppliers around the world that we work with, one of which is BASF," the firm told NutraIngredients-USA.com.
Fortitech said that to date it has developed over 20,000 custom nutrient premixes. These address a wide range of conditions, including gut health, heart disease, diabetes, bone health and brain health.
