BASF Divests Bioenergy Enzymes Business to Lallemand

BASF has sold its San Diego-based bioenergy enzymes business to Lallemand's subsidiaries, Danstar Ferment AG and Lallemand Specialties Inc. This transaction encompasses the Spartec® product line and ongoing technologies under development. Lallemand will amalgamate the acquired business and its personnel into its Lallemand Biofuels & Distilled Spirits (LBDS) division. Effective June 1, all operations have transitioned to Lallemand's control.

LBDS stands as a premier global provider of fermentation components and technical support, and this purchase underscores LBDS's dedication to the fuel ethanol and alcohol sectors. Since 2017, LBDS has collaborated with BASF's bioenergy division, working together on the expression of gluco and alpha amylase enzymes in bioengineered yeast, which are now extensively employed in the North American ethanol production industry.

Angus Ballard, President and General Manager of LBDS, expressed, "We view the expertise of BASF's bioenergy team, along with its Spartec® products and pipeline technologies, as highly synergistic with our own. Through the consolidation of resources and R&D initiatives, we aim to enhance our ability to fulfill the needs of our worldwide clientele."

"Lallemand is the ideal proprietor for the bioenergy enzymes business," remarked Daniel Wilms, Vice President of Strategy, Innovation & Sustainability at BASF's Nutrition & Health division. "Their commitment to the biofuel sector, coupled with their compatible portfolio and worldwide reach, will unlock fresh avenues for expansion."

BASF maintains its concentration on enzyme operations within the animal feed and detergents sectors. The company will persist in offering agronomic solutions to farmers, enabling the cultivation of low-carbon intensity crops for the bioenergy sector.

LBDS is set to showcase its enhanced portfolio at the Fuel and Ethanol Workshop (FEW) in Minneapolis, scheduled from June 10-12.

Both entities have mutually decided not to reveal the financial and commercial details of the arrangement.

BASF leads the way in sustainable chemistry, integrating economic success with environmental responsibility and social accountability. With approximately 112,000 employees worldwide, BASF Group's diverse workforce aids the company's clients across nearly all industries and regions globally. The company's portfolio encompasses six sectors: Chemicals, Materials, Industrial Solutions, Surface Technologies, Nutrition & Care, and Agricultural Solutions. In 2023, BASF achieved sales of €68.9 billion. BASF shares are listed on the Frankfurt Stock Exchange under the ticker symbol BAS and are traded in the United States as American Depositary Receipts (BASFY).

Headquartered in Milwaukee, WI, Lallemand Biofuels & Distilled Spirits (LBDS) is a division of Lallemand Inc., a prominent Canadian manufacturer of yeast and bacteria. LBDS stands as a premier provider of fermentation ingredients and value-added services to the worldwide fuel ethanol and distilled spirits industries.