Germany-headed global chemicals major BASF SE (BASE) has announced that it has sold its San Diego, California (CA) based bioenergy enzymes business in the United States (US) to Canadian yeast and bacteria producer Lallemand Inc.'s subsidiaries, Danstar Ferment AG and Lallemand Specialties Inc.
According to a statement, this includes the “Spartec” product portfolio and related technologies in development.
Lallemand will integrate the business and associated employees in its Lallemand Biofuels & Distilled Spirits (LBDS) business unit based in Milwaukee, Wisconsin (WI). As of June 1, all business activities have been taken over by Lallemand.
LBDS is a leading global supplier of fermentation ingredients and technical solutions, and this acquisition demonstrates LBDS’s commitment to the fuel ethanol and alcohol industries.
LBDS has partnered with BASF’s bioenergy business since 2017, jointly developing the expression of gluco- and alpha amylase enzymes in bioengineered yeast, now widely used in the North American ethanol production market.
We see the capabilities of BASF’s bioenergy team and its Spartec® products and pipeline technologies as highly complementary with ours. By combining resources and R&D programs, we will be even better placed to meet our global customers’ requirements, said Angus Ballard, President and General Manager of LBDS.
BASF remains focused on its enzyme activities in the animal feed and detergent markets.
It will continue to provide agronomic solutions for farmers to produce low-carbon intensity crops for the bioenergy industry.
Lallemand is the best owner of the bioenergy enzymes business. Their dedication to the biofuel industry, along with their complementary portfolio and global presence, will create new opportunities for growth, said Daniel Wilms, VP of Strategy, Innovation & Sustainability at BASF’s Nutrition & Health division.
Both parties have agreed not to disclose the financial and commercial terms of the agreement.
