The Netherlands-based food ingredient and bio-based technology company announced that it has been approved as the highest bidder in the sale for TerraVia.
The designation followed an auction process where TerraVia Holdings and its affiliated debtors established that the “highest and best bid” for the majority of TerraVia’ assets came from Corbion.
The US Bankruptcy Court of the District of Delaware also approved Corbion as the successful bidder and allowed the sale to go through.
Its offer for the California-headquartered nutrition and specialty ingredient company included about $20m in cash, said Corbion.
Completion of the purchase remains subject to closing conditions and regulatory approvals though.
Chapter 11 filing
Some months back, TerraVia had announced that it was filing voluntary chapter 11 petitions and starting a “stalking horse” purchase agreement for stocks and assets with Corbion NV.
Filing for reorganization under chapter 11 of the bankruptcy code in the US Bankruptcy Court of the District of Delaware was done to simplify the competitive transition process, it said. The filing included TerraVia Holdings, Solazyme Brazil and Solazyme Manufacturing 1.
Corbion’s interest
When that bankruptcy filing was made public, Corbion told us that it was interested in acquiring TerraVia’s microalgae platform.
“The acquisition of TerraVia's microalgae platform would extend Corbion's product portfolio into algae-based fatty acids and proteins, while leveraging Corbion's extensive fermentation and downstream processing capabilities,” Tanno Massar, director of corporate communication with Corbion, said at the time.
“TVIA has a developed a very interesting microalgae platform which can be tailored to make specific (food) oils, powders and proteins.”
TerraVia’s work with mircoalage includes the production of an omega-3 DHA product for use in aquaculture, he said. That technology fits well with the work Corbion has already done on lactic acid.