Agrinos and Syngenta Announce Strengthened Partnership
AUG 6, 2012 - 19:04 ET
LYSAKER, NORWAY--(Marketwire - August 6, 2012) - Agrinos, a green technology company committed to improving the productivity and sustainability of modern agriculture, today announced they have expanded their existing commercial cooperation with Syngenta. In April of this year, Agrinos announced it had entered into an initial pre-commercial test phase with Syngenta to explore the viability of different product combinations, to be marketed as new offerings by Syngenta. The trial results to date have supported a decision to expand the cooperation and initiate commercial discussions. The board of directors of Agrinos also announced that Syngenta, through its subsidiary Syngenta Ventures Pte. Ltd., will invest USD $10 million (NOK 60,049,968 million) in Agrinos. The net proceeds of the private placement will be used for working capital related to increased market penetration and for general corporate purposes. Syngenta will be appointing an observer to the Board of Agrinos upon the completion of the transaction.
The expanded agreement will enable Syngenta to bring Agrinos products to market either in combination with existing Syngenta technologies or on a standalone basis starting in the first quarter of 2013. Simultaneously, trials will continue within Europe, Middle East and Africa on further crops, and plans for new trials in the Asia Pacific and Americas regions will be developed. The results from these trials will form the basis for further commercial expansions within the cooperation.
Agrinos and Syngenta will furthermore initiate discussions on how to utilize the Agrinos technology either in combination with existing Syngenta technologies or on a standalone basis in formulated crop protection offerings. This will be a significant first step for Agrinos in moving into the crop protection market from a biological platform.
Agrinos' strategy is to commercialize its HYT™ technology in key agricultural regions across the world. The cooperation with Syngenta gives access to competence and experience, as well as to a fully developed sales and distribution network, which will give the company an opportunity to pursue the strategy with greater speed.
"I am very proud that Syngenta has expanded its cooperation with Agrinos as this move will accelerate our current market penetration and growth," said Agrinos Chief Executive Officer, Tom Einar Jensen. "Syngenta has significant experience and the power to drive the commercialization of our technology further in all markets. We are looking forward to capitalizing on their extensive knowledge base and global network. The professionalism of the people we have engaged with in Syngenta and the diligent nature of our co-operation provides comfort for a long and mutually rewarding partnership."
"The agricultural market is changing due to resource constraints, environmental challenges and increasing demand for higher volumes of healthy food. Both Syngenta and Agrinos are at the forefront of those adapting to this macro picture, meeting growers' needs with innovative and sustainable solutions," Jensen concluded.
Syngenta is one of the world's leading companies with more than 26,000 employees in over 90 countries dedicated to the purpose: Bringing plant potential to life. Through science, global reach and commitment to its customers the company helps to increase crop productivity, protect the environment and improve health and quality of life. For more information go to www.syngenta.com
Agrinos is a green technology company committed to improving the productivity and sustainability of modern agriculture. Agrinos' range of High Yield Technology™ ("HYT™") products helps farmers to practice profitable agriculture by providing increased yield and crop quality, improved efficiency of conventional input factors and a reduced environmental footprint. Certified as organic and based on Agrinos' proprietary technology, the HYT™ products provide benefits by strengthening the soil-based microbial ecosystem, stimulating crop development at key points in the growth cycle and boosting natural plant resistance to stress and threats. With solutions for a variety of crop categories, the technology comprising the HYT™ products has demonstrated its value in trials in key agricultural regions worldwide. Founded in 2009, Oslo-based Agrinos has more than 200 employees and has grown to include activities in Mexico, the USA, Colombia, Peru, Brazil, the UK, Spain, the Netherlands, Scandinavia, Ghana, Malaysia, Indonesia, India and the People's Republic of China. For more information go to www.agrinos.com
This announcement contains certain forward-looking statements relating to the business, financial performance and results of the Company and/or the industry in which it operates. Forward-looking statements concern future circumstances and results and other statements that are not historical facts, sometimes identified by the words "believes", "expects", "predicts", "intends", "projects", "plans", "estimates", "aims", "foresees", "anticipates", "targets", and similar expressions. The forward-looking statements contained in this announcement, including assumptions, opinions and views of the Company or cited from third party sources are solely opinions and forecasts which are subject to risks, uncertainties and other factors that may cause actual events to differ materially from any anticipated development. Neither the Company, nor any of their parent or subsidiary undertakings or any such person's officers or employees provides any assurance that the assumptions underlying such forward-looking statements are free from errors nor does any of them accept any responsibility for the future accuracy of the opinions expressed in this announcement or the actual occurrence of the forecasted developments. No obligation, except as required by law, is assumed to update any forward-looking statements or to conform these forward-looking statements to our actual results.
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