DSM buys Amyris F&F ingredients

DSM has agreed to acquire the biobased flavour and fragrance (F&F) intermediates business of synthetic biotechnology company Amyris. This comprises seven products, of which four are “already generating meaningful sales”, two newly launched and one under development. They will be added to the DSM’s Personal Care & Aroma Ingredients activities, extending its offer to the F&F and cosmetics industries.

The company said that the deal further strengthens its biotechnology and increases the scale of its biotechnological activities in nutritional ingredients. The total transaction value is put at over $500 million, with $150 million as an upfront payment at closing. Similar amounts are expected from potential earn-out payments from the three newest products in 2022-2024, and a 15-year manufacturing agreement between the two companies.

Earlier, DSM had acquired Amyris’s Farnesene business and technology for nutritional and F&F ingredients, and its site at Brotas, Brazil, from which it continues to produce F&F products for Amyris. The two companies will continue their R&D partnerships and Amyris will continue to future molecules with other partners.