Synthos strikes deal with Global Bioenergies to make bio-butadiene

ERJ staff report (DS)

Evry, France -- Synthos S.A. and Global Bioenergies S.A., an industrial biology company developing sustainable routes to light olefins, have signed an agreement to develop a new process to make butadiene from biological sources. The deal involves research funding, multi-million euro development fees, royalty payments, repartition of exploitation rights, and a €1.4m equity investment in Global Bioenergies.

The two companies have decided to join their strengths to develop and industrialise a process to convert renewable resources into butadiene. The agreement alllows for Global Bioenergies to carry out the research and process development at the laboratory level, and Synthos subsequently taking the process on to the industrialisation stage.

Under this agreement Global Bioenergies would receive R&D funding, multi-million euro development fees, and royalty payments from Synthos on sales of bio-butadiene for the manufacturing of rubber. Global Bioenergies will retain the exclusive rights on non-rubber applications.

Tomasz Kalwat, Chairman of Synthos, states: "We are very much looking forward to joining forces with Global Bioenergies, a company developing a unique approach based on synthetic biology. The development of an eco-friendly and inexpensive bio-butadiene process prepares Synthos for next generation of rubber, and contributes to giving Synthos a competitive advantage in the mid- and long-term future. "

Furthermore, Synthos' confidence in Global Bioenergies' unique approach is illustrated by a €1.4m investment representing a 3.6 percent stake in Global Bioenergies.

Marc Delcourt, CEO of Global Bioenergies, adds: "This butadiene program shares many similarities with our isobutene program, and we expect it will be as successful. The long-term commitments from Synthos and the fact that we retain the exclusive exploitation rights on a $10bn market has the potential to create an important value for our shareholders."

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Press release from Global Bioenergies