- Sales accounting for 60% of the AFYREN NEOXY factory’s projected acid production at full capacity are secured1
- Food and feed markets are growing more than 6% annually2
CLERMONT-FERRAND, France & LYON, France–(BUSINESS WIRE)–Regulatory News:
AFYREN (Paris:ALAFY), a greentech company that offers manufacturers natural, low-carbon products created with technology based on natural micro-organisms, has signed two strategic contracts for the long-term supply of biobased ingredients by AFYREN NEOXY to two major players in the nutrition (human and animal) and health markets.
The two contracts were established with major companies that are leaders in their sectors:
- the first is for the manufacture of high quality food ingredients, particularly for the confectionery, meat, chocolate and dairy markets
- the second is for the manufacture of nutritional and health products for animals.
The markets addressed by these partners have significant growth potential amid increasing consumer demand for natural and bio-based products. AFYREN is responding to these trends by ensuring a local supply chain for the raw materials used by its AFYREN NEOXY plant and through its innovative proprietary technology platform.
Data Bridge Market Research analysis shows that the animal nutrition market is expected to grow at a compound annual growth rate of 6.5% for the 2021 to 2028 period. The human nutrition market is growing at a similar rate, according to a report from Wellness Creative Co.
Taking into account these deals, 60% (by volume) of the organic acid output to be produced by the AFYREN NEOXY plant is already pre-sold.
Nicolas SORDET, AFYREN’s CEO, said: “In the wake of the recently announced partnership with ENNOLYS, these two new agreements underscore the attractiveness of our products and our unique positioning — based on a circular economy and a zero-industrial-waste approach. The markets we will be addressing are growing steadily and are experiencing significant demand for sustainable and biobased ingredients, driven by consumers who are seeking healthier and more responsible lifestyles. By ensuring the supply of these two leading players in animal nutrition and human food, we are taking additional steps to secure future revenue for AFYREN NEOXY while positioning ourselves as a leading supplier of biobased organic acids at the European level. This allows us to continue to guarantee a successful start for this first plant and approach its ramp-up with confidence.”
Founded in 2012 to meet the growing need of industries to reduce the use of petroleum derivatives in their production chain, AFYREN produces biomolecules derived from the reuse of non-food biomass. These ingredients are widely used in human and animal nutrition, flavors and fragrances, cosmetics, and fine chemicals. This production of renewable carbon, which is firmly grounded in the circular economy, uses fermentation technologies that are the result of 10 years of research and are patented worldwide. AFYREN is a winner of the 2030 Global Innovation Contest in the “Plant proteins and plant chemistry” category and was selected in the French Tech 120 in 2020 and 2021. In 2018, AFYREN committed to its industrial project by creating the AFYREN NEOXY joint venture with Bpifrance’s SPI fund. The AFYREN NEOXY plant under construction in the Grand Est region will produce AFYREN organic acids in 2022. AFYREN and AFYREN NEOXY employ more than 70 people at their sites in Lyon, Clermont-Ferrand and Carling Saint-Avold. In 2021, AFYREN listed on Euronext Growth® exchange in Paris, raising a total amount of 70.4 million euros with the objective of accelerating its industrial development (Afyren’s ISIN: FR0014005AC9, ticker: ALAFY).
For more information: afyren.com
1 Excluding fertilizer production already pre-sold at 100%
2https://www.wellnesscreatives.com/nutrition-industry-statistics/ & https://www.databridgemarketresearch.com/reports/global-animal-nutrition-market
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