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Ref:607/03 |
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united
kingdom- Mar
19, 2003 |
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Tate & Lyle and IGENE
Biotechnology Announce Joint Venture for New Fermented
Product |
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LONDON--(BUSINESS WIRE)--March 19, 2003
Tate & Lyle PLC, a world leader in carbohydrate
ingredients, and IGENE Biotechnology, Inc (Igene)
today announced a 50:50 joint venture to produce
AstaXin(R), a natural source of the pigment
astaxanthin, which is widely used in the
aquaculture industry.
Astaxanthin is a naturally occurring nutrient that
is essential to impart the characteristic red
color to farmed fish. Most available astaxanthin
is produced via a chemical route, but AstaXin(R)
is a natural product produced by the fermentation
of carbohydrates. AstaXin(R) contains 8,000 parts
per million of astaxanthin and has been approved
as a feed ingredient in Chile, Canada, the United
States and Japan. The process to obtain approval
in Europe is underway.
AstaXin(R) will be produced utilizing Tate &
Lyle's world-leading fermentation capability
together with unique technology developed by Igene.
Part of Tate & Lyle's existing Selby citric acid
facility will be modified to include the
production of 1,500 tons per annum of this new
product. Tate & Lyle's investment of GBP 15m
($25m) includes certain of its Selby assets
currently used in citric acid production.
Commercial production is expected to commence in
the calendar year 2004.
"This move is in line with our strategy to grow
Tate & Lyle's range of valued added
carbohydrate-based ingredients and to build on our
world-leading fermentation capability," Simon
Gifford, Tate & Lyle Acting Chief Executive said.
"The market for this product is enjoying exciting
growth. Customers, who are mainly involved in the
production of farm-raised fish such as salmon and
trout, are seeking alternatives to the synthetic
products currently available. All major producers
have approved the use of AstaXin(R)."
"We have been improving our strain and process
continually over the past number of years. This is
the ideal moment to exploit this technology with
the assistance of Tate & Lyle's experienced
manufacturing staff," said Michael Kimelman,
Chairman of Igene.
About Tate & Lyle
Tate & Lyle is a world leader in carbohydrate
ingredients. Our core competence is to take basic
carbohydrates -- corn, wheat or sugar -- and add
value to these raw materials through technology.
As a result of continuous innovation we offer an
ever-wider product portfolio of versatile and
functional ingredients. These products include
Cereal Sweeteners, Starches, Sugars and Citric
Acid. Our products have wide applications in the
food, beverage, pharmaceutical, cosmetic, paper,
packaging and building industries.
With headquarters in London, the Group has
8,500 employees and 50 plants in 24 countries.
Sales in the 53 weeks to March 31, 2002 totaled
GBP 3.9 billion.
Tate & Lyle ordinary shares trade on the London
Stock Exchange under TATE.L. In the U.S., ADRs
trade on the NASD OTC Bulletin Board under TATYY
(each ADR is equal to four ordinary shares).
Additional information can be found at the website
www.tateandlyle.com.
About IGENE Biotechnology
Igene has been specializing in research to adapt
naturally found chemicals to productive
applications. It is headquartered in Columbia,
Maryland. Its shares trade on the NASD OTC
Bulletin Board under IGNE.
CONTACT: Tate & Lyle PLC, London
Mark
Robinson, 011-44-20-7626-6525
mark.robinson@tateandlyle.com
or
IGENE
Biotechnology, Columbia
Christine Fitch, 410/997-2599
or
Taylor
Rafferty, New York
Dan
Piels, 212/889-4350
tateandlyle@taylor-rafferty.com
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