West Cork-based Carbery Group has agreed to buy US flavouring supplier Innova Foods for an undisclosed sum from Griffith Foods.
Innova is based in Chicago, US, where Synergy is also based.
Carbery said the strategic purchase expands the savoury capabilities of Synergy US and complements Synergy's offerings worldwide.
Late last year, Carbery expanded and diversified its cheese business into mozzarella, with the opening and investment of close to €80m into new processing facilities.
Carbery Group chief executive Jason Hawkins said: "Acquiring Innova Flavors will enhance our business in the US, but also in Asia and central and South America.
"The deal will bring opportunities right across our platforms of dairy, taste and nutrition.”
Carbery Group is owned by the four west Cork dairy co-operatives – Barryroe, Drinagh, Bandon and Lisavaird.
Carbery owns Synergy Flavors Inc in Chicago. It is the returns and profits from this higher-margin business that partly allows the west Cork dairy farmers to get a better milk price.
Innova, formerly part of Griffiths Foods, produces flavours and ingredients, similar to Synergy.
This purchase expands the savoury capabilities of Synergy flavours, allowing Synergy customers access to a wider range and complementing existing flavours.
It also gives Carbery more of a foothold in the growing plant-based alternative food and beverage sector globally.
Innova was founded in 1999 and has turnover of about €100m, with about 50 employees.