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Breaking News

DSM and Roquette Announce Joint Venture

June 30, 2010
Royal DSM N.V., the life sciences and materials sciences company headquartered in the Netherlands, and Roquette Frères, the global starch and starch-derivatives company headquartered in France, have signed a joint-venture agreement for the production, commercialization and market development of bio-based succinic acid, subject to regulatory approvals and notifications.

HEERLEN, The Netherlands - Royal DSM N.V., the life sciences and materials sciences company headquartered in the Netherlands, and Roquette Frères, the global starch and starch-derivatives company headquartered in France, have signed a joint-venture agreement for the production, commercialization and market development of bio-based succinic acid, subject to regulatory approvals and notifications.

Since early 2008, the two companies have been working together to develop the best and most sustainable fermentative technology to produce bio-based succinic acid. The first testing volumes of this renewable and versatile chemical building block, used in the manufacture of polymers, resins and many other products, have already been produced in a demonstration plant in Lestrem, France, that was built in 2009.

The positive results from this cooperation have led to the establishment of the joint venture. DSM and Roquette will each have a 50 percent stake in the new entity, Reverdia V.o.f., which will be headquartered in the Netherlands.

Guy Talbourdet, CEO of Roquette, said, “Bio-based chemistry will become important in the future as fossil feedstocks will become scarce and more expensive. We are proud that our alliance with DSM has succeeded in developing the most sustainable bio-based succinic acid technology in such a short period of time, and we are looking forward to commercializing and scaling up the production in the near future.”

DSM and Roquette believe that fermentation-based succinic acid will be able to replace existing fossil-based succinic acid as well as open new applications, while at the same time delivering a better environmental performance. This innovative technology to produce bio-based succinic acid from starch is unique in the world.

This new production route delivers a reduction in greenhouse gas emissions, as it sequesters carbon dioxide, and the proprietary process does not produce any salts as waste. Bio-based succinic acid will thus enable customers to produce products with substantially lower environmental footprints.

Many companies have already sampled and tested bio-based succinic acid from the demonstration plant of Roquette and intend to take shipments from the joint venture upon its formation. The joint venture between DSM and Roquette, which is subject to regulatory and other customary approvals and notifications, plans to focus on applications such as 1,4 butanediol (BDO), polyurethane resins, and biopolymers such as polybutylene succinate (PBS) into applications among others in paint and coatings, automotive and textiles.

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