Renewable oil and bioproducts company Solazyme announced today that it is dissolving its joint venture with Roquette Frères after nearly two years of collaboration.
According to the company's press release, different timelines and commercial strategies for jointly produced products put the two companies' collaboration in a tight spot. Solazyme said that with the dissolution of the joint venture, it expects to speed up the commercialization of its microalgal food products. Shares of the company dropped on the news.
Dubbed Solazyme Roquette Nutritionals, the joint venture was originally created in November 2010, and was meant to work toward the "production, commercialization and market development of microalgae-derived food ingredients." It was hoped that the oil, protein and fiber based products would have a better taste, texture and health profile than products on the market now.
At the time, the 50/50 venture was seen as well-equipped to commercialize the companies' co-created products.
The companies expect the official separation to occur within weeks. Solazyme, based in California, makes renewable oil and bioproducts. Roquette Frères, based in France, is a global starch and starch-derivatives company.
-- Material from The Associated Press was used in this report.
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