{"id":62032,"date":"2019-04-05T07:29:02","date_gmt":"2019-04-05T05:29:02","guid":{"rendered":"https:\/\/renewable-carbon.eu\/news\/?p=62032"},"modified":"2019-04-02T13:38:16","modified_gmt":"2019-04-02T11:38:16","slug":"lavvan-cites-amyriss-proven-commercial-achievements-and-capability-to-bring-to-market-the-highest-quality-cannabinoids-for-large-scale-use","status":"publish","type":"post","link":"https:\/\/renewable-carbon.eu\/news\/lavvan-cites-amyriss-proven-commercial-achievements-and-capability-to-bring-to-market-the-highest-quality-cannabinoids-for-large-scale-use\/","title":{"rendered":"LAVVAN Cites Amyris\u2019s Proven Commercial Achievements and Capability to Bring to Market the Highest Quality Cannabinoids for Large Scale Use"},"content":{"rendered":"

Amyris, Inc., a leader in the development and production of sustainable ingredients for the Health & Wellness, Clean Beauty and Flavors & Fragrances markets, today announced that it has signed a final definitive agreement for cannabinoid development, licensing and commercialization containing $300 million of R&D and milestone payments plus long-term royalties. The agreement between Amyris and LAVVAN, Inc., a newly-formed company backed by leaders across the pharmaceutical, cannabis, and financial sectors, intends to bring the first fermentation-derived cannabinoid products to market. Today\u2019s announcement follows the previously announced binding term sheet and includes further milestone payments related to additional targeted products.<\/strong><\/p>\n

Based on its expected development timeline, Amyris believes it can earn a significant portion of these milestone payments by the end of 2020, with $20-30 million anticipated in 2019, including a $10 million milestone payment that is expected to be recognized later this month.<\/p>\n

Under the agreement, LAVVAN will be responsible for the global manufacture and commercialization of the cannabinoids.\u00a0The consummation of the transactions contemplated by the agreement\u00a0is subject to certain closing conditions.<\/p>\n

As previously noted by the company, cannabinoids are closely related to terpenes, an area in which Amyris has substantial experience and expertise. Because of this prior terpene work, Amyris has completed a significant portion of the development steps toward the cannabinoid pathways. Importantly, because of Amyris\u2019s highly automated processes, the company will not increase its research and development headcount to pursue and complete the project.<\/p>\n

\u201cWe are delighted to have\u00a0signed this partnership deal in the cannabinoids space,\u201d said John Melo, Amyris President & CEO. \u201cAmyris brings its proven technology platform in the synthetic biology sector that has brought leading products to market in skin care, flavors, fragrances, sweeteners and now cannabinoids to help improve health and quality of life at reduced cost with consistent quality and sustainably sourced. Our partner believes that we are the only company with the capability to globally commercialize CBD and bring cannabinoid products to consumer brands at a scale and consistency that will enable several product categories to achieve success at scale in delivering what consumers are seeking \u2013 a natural, sustainably-sourced cannabinoid product that improves quality of life and health. LAVVAN\u2019s partnership will provide for broad distribution during commercialization along with the manufacturing support to meet significant demand growth for these products.\u201d<\/p>\n

\u201cWe feel that this project was simply made for our technology platform,\u201d said Joel Cherry, Amyris President of Research & Development. \u201cBased on our known success in bringing fermentation-based products to market and our demonstrated expertise in producing plant compounds in yeast, we have high confidence in achieving the partnership goals.\u201d<\/p>\n

\u201cWe are tremendously excited to be working with Amyris,\u201d said Etan Bendheim, LAVVAN CEO. \u201cWe look forward to bringing the highest quality, best value cannabinoids to the market, beginning with CBD by early next year.\u201d<\/p>\n

Significant Expected Benefits of Amyris\u2019s Fermentation-Based Cannabinoid Products<\/h3>\n

Products derived from fermentation are anticipated to have several significant benefits, including:<\/p>\n