FMC Significantly Expands Biologics Platform with Agreement to Acquire BioPhero

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FMC Corporation announced a definitive agreement to acquire BioPhero ApS, a Denmark-based pheromone research and production company. Acquisition adds cutting-edge, bio-produced pheromone-based insect control technology to FMC’s product portfolio and R&D pipeline, underscoring FMC’s role as a leader in providing innovative and sustainable pest control solutions cultures.

BioPhero has pioneered a highly efficient yeast fermentation process for manufacturing pheromones at significantly lower costs and with fewer production steps compared to competitors’ traditional chemical synthesis methods. Declining costs expand the addressable market for pheromones from today’s focus on specialty fruits and vegetables to now include the field row crop market. FMC expects pheromones and pheromone products to contribute approximately $1 billion in revenue with an EBITDA margin above the company average by 2030.

“This acquisition demonstrates our continued commitment to investing in biologics and adjacent technologies, expanding our world-class portfolio while advancing sustainable agriculture,” said Mark Douglas, President and CEO of FMC. “BioPhero is a pioneer in the production of pheromones with a unique and highly effective bioprocessing method, which is a game changer in pheromone manufacturing technology. FMC’s broad market access, leadership position in the high-value insecticide market, formulation know-how and application expertise provide significant opportunities to deliver pheromone technology with sustainable benefits. to more agricultural markets around the world. We look forward to adding a broad pheromone platform to our biologics business and welcoming the BioPhero team to FMC.

“BioPhero is excited about the opportunity to accelerate its development and time to market with the goal of making pheromones widely available,” said Dr. Irina Borodina, Co-Founder and Chief Scientific Officer of BioPhero. “Given FMC’s leading position in the development of organic crop protection products, its manufacturing and formulation expertise and existing operations in Denmark, we believe FMC is an excellent company to take this business forward. FMC’s global market access and significant R&D investments will accelerate our ability to bring cutting-edge pheromone-based insect control technology to growers around the world.

Pheromones can be used in an integrated pest management program to control the buildup of insect populations in farmers’ fields by disrupting the insect mating process, reducing overall adult egg laying and decreasing the next generation of the target insect population. Pheromones do not impact the environment, promote biodiversity and do not harm beneficial insects, such as pollinators, because they precisely target specific pests.

“FMC directs 100% of its R&D investments to discover and develop more sustainable products,” said Dr. Kathleen Shelton, FMC’s executive vice president and chief technology officer. “We are excited to add BioPhero’s innovative pheromone molecules to our new product portfolio, and we plan to launch five new pheromone products over the next three to five years. The opportunities for advanced biomanufacturing technology extend far beyond insect control. By working together, we can greatly expand the use of fermentation technologies to a wider set of crops targeting a variety of pests, including fungi and weeds.

Novo Holding A/S, a world-leading science-based investor focused on long-term value creation, has backed BioPhero for six years. “Novo Holdings believes that biotechnology is a key element in the transition to a more sustainable society,” said Søren Møller, Managing Partner of Novo Holdings. “The technology developed by BioPhero is an excellent example of using nature’s pheromones to control pests safely and effectively. Novo Holdings has invested in BioPhero since its inception and has renewed its commitment to the company with each round of funding. We are very pleased to see the rapid development of the business, and this sale demonstrates that FMC shares our vision of bringing new sustainable solutions to agriculture.

The purchase price of approximately $200 million will be paid at closing. Following regulatory approvals and satisfaction of customary closing conditions, the acquisition of BioPhero is expected to close by the end of the third quarter of 2022.

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