Aims to concentrate on its biosimilars business
Dyadic International is to sell its enzyme and technology assets to DuPont for US$75m so that it can focus on its biopharmaceutical business.
Dyadic is a global biotechnology company that manufactures enzymes and other proteins for the bioenergy, bio-based chemicals, biopharmaceutical, food and feed industries.
The deal will include the sale of Dyadic's C1 platform, a fungal expression technology for producing enzymes, as well as liquid and dry enyzme products used in a broad range of industries.
Dyadic's research and development lab in the Netherlands will become part of DuPont Industrial Biosciences.
Mark Emalfarb, Dyadic’s founder and CEO, said the deal gives the firm the opportunity to further develop its pharmaceutical business.
'The infusion of capital will help accelerate our pharmaceutical offerings where we believe our C1 technology has the potential to help develop and manufacture drugs and vaccines faster and more efficiently than existing production systems,' he said.
'We expect that Dyadic’s focus on the pharmaceutical industry will enable the company to potentially achieve our research and business goals sooner and more effectively than otherwise possible.'
The infusion of capital will help accelerate our pharmaceutical offerings
The terms of the deal allow Dyadic to sub-license C1 for use in the development of biologics, allowing it to receive upfront and milestone payments, plus royalties.
DuPont will retain certain rights to use the C1 technology in the development and manufacture of biopharma products, for which it will make royalty payments to Dyadic if these products should be commercialised.
The company said it plans to focus its research programmes on the development and manufacturing of new human and animal vaccines, monoclonal antibodies, biosimilars and/or biobetters, and other therapeutic proteins.
'The DuPont transaction is further validation of the C1 technology platform, which is already being used by industry leaders such as Abengoa, BASF and Sanofi Pasteur,' said Emalfarb.
Dyadic intends to use a minimum of $15m of the transaction proceeds to initiate a stock repurchase programme.
The deal is expected to close towards the end of the year, subject to customary closing conditions.