New York-based Borden said Tuesday it has increased its Orange County holdings by purchasing MCP Foods of Anaheim, a producer of citrus flavorings used by the food industry.
MCP is the second Orange County food firm bought by Borden in the last two months. In September, the food giant bought Laura Scudder's, an Anaheim maker of peanut butter and snack foods.
MCP is one of eight companies purchased by Borden for a combined total of $55 million, the company said. The transactions increase the number of recent acquisitions by Borden to 39, with 24 completed so far this year, said R. J. Ventres, chairman and chief executive.
"It is in line with everything they have been doing," said Mary Schoenbrod, an analyst with Duff & Phelps in Chicago. "It makes perfect sense to me."
MCP employs about 110 workers at its Anaheim plant, where it produces liquid, spray-dried and other forms of flavorings for industrial use. The company also makes citrus pectins, which are used in jelly products.
James McCrory, Borden vice president for public affairs, estimated MCP's fiscal 1987 sales at $16 million but declined to divulge the company's earnings or its selling price.
Larger Work Force
In addition to MCP, Borden also has purchased a flavorings business from Sherman Oaks-based Sunkist Growers. McCrory characterized the business as consisting primarily of "some flavor patents . . . a minor activity" at Sunkist.
McCrory said MCP's work force will probably be increased because Borden plans to move the Sunkist production to Anaheim.
Officials at MCP and Sunkist could not be reached for comment.
"These acquisitions directly advance our growth strategy," Ventres said in a prepared statement. "The two citrus businesses strengthen our profitable niche position in supplying the food industry with specialty flavorings and ingredients."
"We've gotten some fabulous things" in the recent acquisitions, McCrory said. MCP "is a good business."