MILAN, November 17, 2017 /PRNewswire/ --
Royal DSM (AEX: DSM.AS), a global science-based company
active in health, nutrition and materials and Amyris, Inc. (Nasdaq:
AMRS), the industrial bioscience company, today announced that they
have enhanced their strategic alliance through the sale of
Amyris Brasil Ltda to DSM and the establishment of a
long-term manufacturing partnership for Amyris'
high-volume products.
(Logo:
http://photos.prnewswire.com/prnh/20160803/395298LOGO )
The consideration for Amyris Brasil Ltda (which owns and
operates the Brotas 1 production facility) and intellectual
property related to farnesene (a bio-based key intermediate for
many applications) is US$ 58 million
plus an additional value share arrangement over a three-year period
amounting to US$ 37.5 million
(aggregate upfront consideration of US$ 96
million). In addition to the consideration upfront, there is
potential for a future value share in line with Amyris' business
model.
DSM will continue existing supply-agreements to Amyris and other
parties. DSM will also supply Amyris with specialty compounds until
it realizes its Brotas 2 specialties production facility. Amyris is
accelerating the construction of its second facility dedicated to
specialty products while maintaining the manufacturing process
development and business support capability located in Campinas,
Brazil.
Subject to customary conditions, the transaction is expected to
close in the next few months.
With the acquisition of the Brotas 1 facility, DSM adds a
state-of-the-art biotechnology-based production site in
Brazil to its global network, with
abundant availability of sustainable raw materials (sugar cane),
securing production capacity for its rich pipeline of sustainable
and bio-based solutions. Having broad experience in operating
large-scale fermentation plants, DSM will optimize the operational
performance of the site.
The strategic alliance between DSM and Amyris started in
May 2017 with an equity investment by
DSM in Amyris, and has since been expanded with several significant
product development collaborations.
The sale of the Brotas 1 facility, which was designed to produce
high volumes of farnesene, together with the creation of a
long-term production relationship for high-volume farnesene-based
intermediates will enable Amyris to focus on its core strength of
developing breakthrough bioscience technologies through a portfolio
approach that continues to target key markets, as well as the
production of specialty products.
"Following our equity investment in Amyris and
subsequent product development cooperations, I am pleased that we
can add a state-of-the-art fermentation-based production facility
to our network. Our know-how in fermentation, downstream process
development and large-scale manufacturing will allow us to further
improve the operational performance of the facility while further
strengthening our strategic alliance with Amyris," said
Chris Goppelsroeder, President & CEO of DSM Nutritional
Products.
"We are very pleased with the continued expansion of
our strategic alliance with DSM," said
John Melo, Amyris President &
CEO. "This manufacturing partnership and the sale of our
Brotas 1 factory allows us to accelerate the
development and manufacturing of specialty,
high-performance ingredients. We are building a
specialty plant at Brotas (Brotas 2) and also expect
to complete our São Martinho plant to focus on sweeteners. The
combination of these actions provides us the manufacturing
footprint to meet our current demand through the next 3-5 years and
to manage this within our funding constraints."
Continued Melo, "This transaction completes a planned shift
from operating a plant originally designed to produce high volumes
of farnesene, to producing an expanding number of
high-value, specialty ingredients. This
shift will allow Amyris to improve returns and cash flows in order
to continue to provide sustainable growth for Amyris and its
partners."”
DSM - Bright Science. Brighter Living.™
Royal DSM is a global science-based company active in health,
nutrition and materials. By connecting its unique competences in
Life Sciences and Materials Sciences DSM is driving economic
prosperity, environmental progress and social advances to create
sustainable value for all stakeholders simultaneously. DSM delivers
innovative solutions that nourish, protect and improve performance
in global markets such as food and dietary supplements, personal
care, feed, medical devices, automotive, paints, electrical and
electronics, life protection, alternative energy and bio-based
materials. DSM and its associated companies deliver annual net
sales of about €10 billion with approximately 25,000
employees. The company is listed on Euronext Amsterdam. More
information can be found at http://www.dsm.com.
About Amyris
Amyris is the integrated renewable products company that is
enabling the world's leading brands to achieve sustainable growth.
Amyris applies its innovative bioscience solutions to convert plant
sugars into hydrocarbon molecules and produce specialty ingredients
and consumer products. The company is delivering its No Compromise®
products across a number of markets, including specialty and
performance chemicals, flavors and fragrances, cosmetics
ingredients, pharmaceuticals, and nutraceuticals. More information
about the company is available at http://www.amyris.com.
DSM Forward-Looking Statements
This press release may contain forward-looking statements with
respect to DSM's future (financial) performance and position. Such
statements are based on current expectations, estimates and
projections of DSM and information currently available to the
company. DSM cautions readers that such statements involve certain
risks and uncertainties that are difficult to predict and therefore
it should be understood that many factors can cause actual
performance and position to differ materially from these
statements. DSM has no obligation to update the statements
contained in this press release, unless required by law. The
English language version of the press release is leading.
Amyris Forward-Looking Statements
This release contains forward-looking statements, and any
statements other than statements of historical fact could be deemed
to be forward-looking statements. These forward-looking statements
include, among other things, statements regarding future events
(such as expected upfront consideration to Amyris in the
transaction as well as future value share payments, the anticipated
closing of the transaction, including the timing thereof, the
expected continuation of existing supply agreements with Amyris and
other parties, the anticipated supply of Amyris's specialty
compounds, the expected construction of the proposed Brotas 2
facility, the anticipated development and manufacturing of
specialty ingredients, the expected construction of a proposed
plant focused on sweeteners, anticipated ability to meet current
and future demand, and expected improvements in returns, cash flows
and growth), that involve risks and uncertainties. These statements
are based on management's current expectations and actual results
and future events may differ materially due to risks and
uncertainties, including risks related to Amyris's liquidity and
ability to fund operating and capital ex penses, timing and
execution risks associated with manufacturing, uncertainty
regarding consummating proposed transactions, including the timing
thereof, and growth in sales, potential delays or failures in
development, production and commercialization of products, risks
related to Amyris's reliance on third parties to achieve its goals,
and other risks detailed in the "Risk Factors" section of Amyris's
quarterly report on Form 10-Q filed on August 14, 2017. Amyris disclaims any obligation
to update information contained in these forward-looking statements
whether as a result of new information, future events, or
otherwise.
Amyris, the Amyris logo and No Compromise are registered
trademarks of Amyris, Inc. All other trademarks are trademarks of
their respective owners.
For more information:
DSM Corporate Communications
Herman Betten
tel. +31(0)45-578-2421
e-mail media.contacts@dsm.com
Amyris, Inc.
Peter DeNardo
tel.: +1(510)740-7481
e-mail: investor@amyris.com
pr@amyris.com
DSM Investor Relations
Dave Huizing
tel.: +31(0)45-578-2864
e-mail: dave.huizing@dsm.com
PRN NLD