Amyris Takes Full Ownership of Brazilian Industrial Fermentation Plant and Invests in Completion of Fourth Precision Fermentation Line
Rhea-AI Summary
Amyris (AMRS) has acquired Ingredion's 31% stake in the RealSweet Joint Venture, taking full ownership of their industrial precision fermentation plant in Barra Bonita, Brazil. As part of the agreement, Ingredion will receive exclusive access to Amyris' technology for manufacturing and commercializing fermented Reb M, while Amyris will earn royalties on Ingredion's future Reb M sales.
Additionally, Amyris is investing in the completion of a fourth independent precision fermentation line at the Barra Bonita plant, scheduled to be operational in early 2026. This expansion aligns with the company's 2030 strategic plan and aims to increase production capacity and flexibility for specialty ingredients manufacturing.
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Insights
Amyris strengthens manufacturing control with full plant ownership and capacity expansion, positioning for increased production flexibility and potential profitability.
Amyris' acquisition of Ingredion's 31% stake in the RealSweet Joint Venture represents a strategic consolidation of its manufacturing capabilities. Taking full ownership of the Barra Bonita industrial precision fermentation plant in Brazil gives Amyris complete control over this critical asset in their vertical integration strategy.
The dissolution of the joint venture comes with an interesting arrangement: Ingredion gains exclusive access to Amyris' technology for manufacturing fermented Reb M (a stevia-based sweetener), while Amyris will earn royalties on Ingredion's future sales of this product. This creates a new revenue stream for Amyris without the operational responsibilities of producing Reb M.
More significantly, Amyris is investing in completing a fourth independent precision fermentation line at the Barra Bonita plant, scheduled to be operational in early 2026. This expansion aligns with their previously announced 2030 strategic plan and will increase both capacity and manufacturing flexibility for specialty ingredients.
From a manufacturing perspective, this move strengthens Amyris' position as a leader in industrial biotechnology by:
- Providing complete operational control over their production facility
- Increasing manufacturing capacity through the fourth fermentation line
- Creating greater flexibility to produce diverse specialty ingredients
- Potentially reducing production costs through operational optimization
- Establishing a royalty-based revenue stream from Ingredion's Reb M sales
This restructuring of manufacturing assets indicates Amyris is focusing on optimizing its production portfolio to drive profitability while maintaining technological leadership in precision fermentation. The company appears to be strategically balancing direct manufacturing of high-value ingredients with technology licensing for more commoditized products like Reb M sweeteners.
In line with the approval and funding of the company's 2030 strategic plan announced last November, Amyris is completing construction of the fourth independent precision fermentation line at the Barra Bonita plant. This line, which will be operational in early 2026, will further increase capacity and flexibility for producing specialty ingredients.
"Resuming full ownership and control of our state-of-the-art precision fermentation facility in Barra Bonita is an important milestone that will enable us to optimize our manufacturing portfolio to drive profitability and serve our customers most effectively," said Kathy Fortmann, Amyris' Chief Executive Officer. "We are also delighted to announce our additional investment in capacity at Barra Bonita, which will maximize flexibility of our plant and accelerate development and commercialization of innovative and sustainable products."
"With exclusive access to Amyris' fermented Reb M technology, we are excited about meeting the growing global demand for our comprehensive Stevia portfolio, what we call the 'perfectly sweet trifecta' of extracted, bioconverted and fermented Reb M," commented Jim Zallie, Ingredion's President and Chief Executive Officer.
"This trifecta enables us to provide nature-based, clean-label sugar-reduction solutions meeting the needs of all our customers. We look forward to continuing to grow the market for fermented RebM," added Nate Yates, Vice President and General Manager of Sugar Reduction and Fiber Fortification at Ingredion.
About Amyris, Inc.
Amyris is a vertically integrated synthetic biology company that creates sustainable ingredients utilizing proprietary advanced precision fermentation technology and world-class platforms. Leveraging two decades of experience, Amyris collaborates with companies to co-create innovative ingredients at unprecedented speed and scale. This enables partners to deliver products with differentiated performance that meet sustainability and economic objectives. Its renewable and traceable ingredients are included in thousands of products from the world's top brands, reaching millions of consumers. For more information, please visit http://www.amyris.com.
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SOURCE Amyris, Inc.
