ArcticZymes Technologies divests Biotec BetaGlucans subsidiary to Lallemand

ArcticZymes Technologies divests Biotec BetaGlucans subsidiary to Lallemand 1
BBG business is an excellent strategic fit for Lallemand, a global leader in the development, production and marketing of yeast, bacteria and specialty ingredients.

TROMSØ: ArcticZymes Technologies ASA (AZT) has today entered into a Share Purchase Agreement (SPA) with Lallemand Inc’s subsidiary, Danstar Ferment AG for the divestment of AZT’s Biotec BetaGlucans AS subsidiary (BBG), a news release said·

The transaction is based on an Enterprise Value of NOK 70 Million payable in cash at closing – expected end of December 2020 and which will be subject to customary closing accounts adjustments.

Divestment supports AZT’s strategy to focus exclusively on its profitable enzyme business and strengthens its cash position to expedite organic and inorganic growth options.

Under the terms of the SPA, Lallemand will acquire all of the BBG assets and associated intellectual property, product portfolios, and will take-over the manufacturing of beta-glucans in the Nordøya, Tromsø manufacturing facility.

The BBG business is an excellent strategic fit for Lallemand, a global leader in the development, production and marketing of yeast, bacteria and specialty ingredients.

In December 2019, AZT announced that it would seek to divest the wound care business. Despite an extensive search process, no suitable purchaser or partner was identified who was willing to acquire all or part of this standalone business.

However, AZT did receive several proposals to acquire the entire BBG business including the Nordøya manufacturing facility. Lallemand with production plants, distribution centres and offices in over 50 countries was the most competitive and qualified bidder with the expertise to fully integrate and develop the BBG product portfolio and business whilst ensuring continuity of supply to BBG’s customers.

Divesting the BBG business will enable AZT to focus all its strategic attention on developing its enzyme business. Significant infrastructure and research and development investments will be made in 2021/2 to expedite organic growth of the enzyme portfolio. In addition, inorganic growth opportunities will be sought through merger and acquisition.

AZT CEO, Jethro Holter said: “We are delighted to divest BBG to Lallemand who is ideally suited to take over this business. AZT will subsequently become a pure enzyme company with all efforts focused towards expanding it enzymes portfolio through organic and inorganic growth initiatives.”

President and CEO of Lallemand Inc., Antoine Chagnon commented: “Our acquisition of the Biotec BetaGlucans business will broaden our beta -glucans product portfolio as well as our access to leading technologies within yeast-based ingredients. We look forward to offering our customers in both human and animal nutrition sectors innovative products from Biotec BetaGlucans. We are delighted to have secured the pharma certified Tromsø plant, our first production facility in Norway.”

ArcticZymes Technologies is a Norwegian life sciences company focused on the development, manufacturing and commercialization of novel recombinant enzymes for use in molecular research, In Vitro Diagnostics (IVD) and therapeutics.

Listed on the Oslo Stock Exchange since 2005 originally under the [Biotec] ticker, as Biotec Pharmacon. The company rebranded as ArcticZymes Technologies in 2020 under the [AZT] ticker. Its headquarters are based in Tromsø, Norway, at the SIVA Innovation Centre.

www.arcticzymes.com

Lallemand is a family-owned business, headquartered in Canada, whose focus is on the development, production and marketing of yeasts, bacteria and enzymes solutions across the baking, food ingredients, human and animal nutrition and health, crop protection/nutrition, oenology, brewing, alcohol and biofuel sectors.

www.lallemand.com

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