Business
Intrexon Corporation and Surterra Wellness Partner in $100mm Deal to Advance Commercial Scale Fermentation-based Cannabinoid Production
BUDAPEST, Hungary and ATLANTA, June 18, 2019 /PRNewswire/ -- Intrexon Corporation (Intrexon) (NASDAQ: XON), a leader in the engineering and industrialization
About this update from Precigen, Inc.
[{"type":"text","content":"BUDAPEST, Hungary and ATLANTA, June 18, 2019 /PRNewswire/ -- Intrexon Corporation (Intrexon) (NASDAQ: XON), a leader in the engineering and industrialization of biology to improve quality of life and health of the planet, and Surterra Wellness (Surterra), one of the fastest growing health and wellness companies in the United States today announced an exclusive global licensing agreement. The companies will join forces to advance Surterra's cannabinoid production at a reliable, efficient, cost-effective, industrial scale utilizing Intrexon's proprietary yeast fermentation platform. The $100 million deal, including milestones and royalties, will leverage each company's expertise to ultimately bring new cannabis products to market to meet growing, and more selective, future consumer demand, with greater supply chain security, in a more consistent, efficient and cost effective way. \n\n \nIntrexon has scaled its proprietary yeast fermentation process and is on track to realize production of pure cannabinoids at a target cost of goods of <$1,000/kg. With exclusive global access to Intrexon's technology for microbial production of cannabinoids, Surterra gains a clear research and development roadmap to:\nIsolate, produce, and explore the therapeutic benefits of specific, rare cannabinoids and produce them in large quantities at a lower cost. Improve yield consistency, purity and quality control to meet the future need for large scale, predictable cultivation. Reduce reliance on conventional indoor and farming cultivation methods for production of cannabinoid concentrates, which are resource intensive to isolate and can lead to quality and quantity variability in end products; transition to a more sustainable, environmentally friendly model. Focus traditional agricultural grow investment for flower and smokable products.\"This significant and strategic investment with Intrexon means Surterra can ramp up our research and development of specific cannabinoids, to ultimately craft cannabinoid products to meet the future demands and needs of our customers. This transformative deal with Intrexon gives us a leading edge as we enter a new paradigm in cannabis, where the industry leaders will be those who have expertise in building global brands and in research and innovation. Imagine a day when technology and science leads to breakthrough c...