Metabolix, Inc. (NASDAQ:MBLX) today announced the management team
that will lead Yield10 Bioscience. The company also provided an
update on its strategic restructuring and cash position.
Yield10 Bioscience is focused on the unmet need for enhanced
global food security and is developing proprietary technologies to
enable step-change improvements in yield for major food and feed
crops. In July 2016, Metabolix announced a strategic restructuring
under which Yield10 Bioscience is becoming the company’s core
business. In connection with the restructuring, the company is also
working to rebrand itself as Yield10 Bioscience.
“Our experienced and dedicated management team has the
scientific expertise and business acumen to execute the
transformation from Metabolix to Yield10 Bioscience and take
Yield10 forward in its efforts to develop higher-yielding crops,”
said Robert Van Nostrand, Chairman of the Board. “Yield10 already
has a distinctive record of accomplishment in plant science,
particularly with multi-gene systems, and is well positioned to
become a leader in developing innovative crop technologies and
related yield traits to help address global food security, one of
the most pressing challenges of our time.”
Metabolix CEO Joseph Shaulson is stepping down from his current
executive responsibilities and will provide transition support to
the management team through the end of 2016. He will also remain on
the company’s board of directors. Johan van Walsem, Metabolix COO,
has been leading the wind down of the company’s biopolymer
operations and transfer of biopolymer assets to CJ CheilJedang. He
is expected to leave the company at the end of October 2016.
Mr. Van Nostrand continued, “On behalf of the entire board, I’d
like to thank Joe and Johan for their commitment and leadership
through some particularly challenging times at Metabolix. We are
pleased that Joe will continue to serve on the board and wish both
Joe and Johan luck in their future endeavors.”
Going forward, Yield10 Bioscience will be led by:
Oliver (Olly) Peoples, Ph.D., President and Chief Executive
Officer: Dr. Peoples is an experienced entrepreneur and
biotechnology executive with 30 years of experience in science and
technology innovation. He initiated Metabolix crop science programs
over a decade ago and more recently, spearheaded the development of
Yield10’s research and business focus. Dr. Peoples was a co-founder
of Metabolix and prior to that was a research scientist in the
Department of Biology at MIT, where he emerged as a pioneer of the
new field of metabolic pathway engineering. Dr. Peoples will have
overall leadership responsibility for the company, with a focus on
strategy, capital generation, resource allocation and industry
collaborations.
Kristi Snell, Ph.D., Vice President, Research and Chief Science
Officer: Dr. Snell has more than 20 years of relevant experience
and is an industry recognized expert in metabolic engineering of
plants and microbes for the production of novel products and
increased plant yield. Following her post-doctoral research at MIT
on metabolic engineering, Dr. Snell joined Metabolix in 1997 where
she has led the plant science research program since its inception.
Dr. Snell will be responsible for leading research and development
activities, intellectual property development, government grant
programs, small scale field tests and larger scale field
trials.
Charles (Chuck) Haaser, Vice President, Finance and Chief
Accounting Officer: Mr. Haaser has more than 30 years of senior
accounting management and executive experience with public
technology-based companies. Mr. Haaser joined Metabolix in 2008 as
Corporate Controller, and was named chief accounting officer in
2014. His background includes technical accounting, SEC financial
reporting, Sarbanes-Oxley and tax compliance. Mr. Haaser will be
responsible for leading the company’s accounting, finance, cash
management, financial reporting and compliance functions.
Lynne Brum, Vice President, Planning and Communications: Ms.
Brum has more than 25 years of experience in the biotechnology
industry. Ms. Brum joined Metabolix in 2011 as vice president of
marketing and corporate communications. She also previously served
for 13 years at Vertex Pharmaceuticals where she was responsible
for investor relations and corporate communications and served in
additional roles including financial planning and corporate
development. Ms. Brum will be responsible for strategic planning,
investor relations and corporate communications as well as
coordinating various corporate activities such as human resources,
IT, legal and facilities.
“The leadership team is energized by the mission of Yield10 and
excited to play a role in addressing the need for increased global
food production,” said Oliver Peoples, Ph.D., president and chief
executive officer. “We are focused on innovations to develop
better, fundamentally higher-yielding crops. We are also looking to
build on our relationships with academia and establish industry
collaborations to advance these innovations as we work to build out
our intellectual property position in this exciting field. We
believe these initiatives will position Yield10 for success and
enable us to share in the value created by increased crop
yield.”
Strategic Restructuring and Cash Update
The company previously announced plans to reduce staffing levels
to approximately 20 people in connection with its strategic
restructuring. Current headcount is 29 and is expected to reach the
target level of approximately 20 during the fourth quarter as
activities related to the wind down of the company’s biopolymer
operations and transfer of biopolymer assets to CJ CheilJedang are
completed.
In connection with the wind down of biopolymer operations,
Metabolix ceased pilot production of biopolymer materials and
reached agreements with the owner-operators of its biopolymer pilot
production facilities regarding the termination of these services.
The Company incurred cash restructuring costs of approximately $0.9
million and issued 275,000 shares of common stock in the third
quarter of 2016 related to these agreements and other restructuring
activities. Remaining cash restructuring costs associated with the
company’s strategic restructuring are estimated at approximately
$2.5 million and are expected to be paid out over the next
12 to 24 months.
Metabolix had approximately $9.7 million in cash at September
30, 2016. The company currently estimates that its cash on hand
together with expected cash receipts from its outstanding
government research grants will be sufficient to support its
operations into the fourth quarter of 2017. This includes both the
estimated cash operating cost of the Yield10 Bioscience business as
well as remaining cash restructuring costs expected to be incurred
during the period.
In a separate press release issued today, the company announced
that it will host and webcast an investor presentation on Thursday,
October 20, 2016 at 4:30 p.m. (ET) covering the Yield10 Bioscience
mission, vision and technology platform.
The company expects to report third quarter financial results
and hold another investor conference call by mid-November.
About Metabolix
Metabolix, Inc. is winding down its legacy PHA biopolymer
business and becoming Yield10 Bioscience. Yield10 is
leveraging Metabolix’s extensive track record of innovation based
around optimizing the flow of carbon intermediates in living
systems with a focus on developing disruptive technologies for
step-change improvements in crop yield. Yield10 is working on new
approaches to improve fundamental elements of plant metabolism
through enhanced photosynthetic efficiency and directed carbon
utilization. Yield10 is advancing the development of several yield
traits in crops such as camelina, canola, soybean and corn.
The Company is based in Woburn, MA.
For more information, visit www.metabolix.com.
(MBLX-G)
For more information on Yield10 Bioscience, visit Yield10.
Safe Harbor for Forward-Looking Statements
This press release contains forward-looking statements which are
made pursuant to the safe harbor provisions of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. The forward-looking
statements in this release do not constitute guarantees of future
performance. Investors are cautioned that statements in this press
release which are not strictly historical statements, including,
without limitation, expectations regarding Yield10’s innovations,
collaborations, intellectual property and value creation as well as
the Company’s restructuring costs, cash position, cash forecasts
and headcount forecasts, constitute forward-looking statements.
Such forward-looking statements are subject to a number of risks
and uncertainties that could cause actual results to differ
materially from those anticipated, including the risks and
uncertainties detailed in Metabolix's filings with the Securities
and Exchange Commission. Metabolix assumes no obligation to update
any forward-looking information contained in this press release or
with respect to the announcements described herein.
Metabolix Contact:
Lynne H. Brum, 617-682-4693, LBrum@metabolix.com
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