In Spain, AlgaEnergy and Yokogawa Electric Corporation have announced the signing of a partnership & equity participation agreement. The strategic agreement involves an approximately EUR10 million investment by Yokogawa to acquire newly issued shares of AlgaEnergy, making the Japanese company a reference shareholder.
AlgaEnergy has been a pioneer in the microalgae biotechnology field since 2007. It is currently operating a commercial production facility in the south of Spain, and, in late 2015, launched the world’s first line-up of microalgae-based biostimulant products to promote efficient crop cultivation. Biostimulant is a substance or micro-organisms whose function when applied to plants or the surrounding soil is to stimulate natural processes to enhance nutrient uptake, nutrient efficiency, tolerance to abiotic stress, and crop quality.
The entry of Yokogawa as a shareholder will enable AlgaEnergy to reinforce its position of international leadership, with the equity investment being used to fund a set of ambitious projects, including international expansion of its biostimulant product sales organisation, entry into new sectors such as food and cosmetics, and development of its promising product pipeline.
However, the scope of the agreement extends beyond just financial investment. The two companies, which share strong synergies and a common vision, seek to build an industry-leading partnership in the microalgae biotechnology sector worldwide by collaborating in the areas of R&D, manufacturing, marketing, and sales. AlgaEnergy will leverage its broad knowledge and experience in the microalgae biological processes, accumulated throughout more than four decades of R&D by its scientific leader, the world-renowned microbiologist Professor Miguel Garcia Guerrero of the University of Seville. Yokogawa will provide the advanced technologies and knowhow related to automation of industrial processes that will be key to maximising quality and efficiency as production volumes increase.
Category: Producer News