BioAmber

BioAmber Inc. was a sustainable-chemicals company incorporated in Delaware and headquartered in Montreal, Quebec. Its business focused on replacing selected petrochemical feedstocks with renewable biological inputs. The company combined industrial biotechnology, fermentation, and chemical catalysis to produce chemical building blocks intended for use in plastics, resins, coatings, polyurethanes, plasticizers, pigments, food additives, personal-care products, and other consumer and industrial applications. The company originated from a collaboration between New York-based Diversified Natural Products and France-based Agro-Industrie Recherches et Développements. DNP initially established the venture to develop and commercialize bio-based succinic acid, a platform chemical that can be used in numerous downstream products. The business was spun out in 2008 under the name DNP Green Technology and changed its name to BioAmber in 2010 after acquiring full ownership of the underlying joint venture. BioAmber's core technology used fermentation of sugars to produce succinic acid. It worked with Cargill on a proprietary yeast strain designed to ferment at low pH and tolerate high concentrations of succinic acid. The company argued that these characteristics could improve process performance by reducing contamination risk and lowering the need for neutralization and downstream processing. BioAmber also licensed catalytic technology from Johnson Matthey Davy Technologies to convert bio-based succinic acid into 1,4-butanediol and tetrahydrofuran, chemicals used in engineering plastics, elastomers, solvents, fibers, resins, and related materials. From 2010 through 2014, the company operated a large demonstration facility in France through its former relationship with ARD. The experience from that operation informed the design of BioAmber's commercial plant in Sarnia, Ontario. BioAmber formed a joint venture with Mitsui & Co. to build the Sarnia facility, with BioAmber holding a majority interest. Construction began in 2013, and commercial operations started in November 2015. The plant was designed for annual production of approximately 30,000 metric tons of bio-based succinic acid and was described as the largest facility of its type at the time. BioAmber raised private capital from institutional and strategic investors before completing an initial public offering on the New York Stock Exchange in May 2013. It also traded on the Toronto Stock Exchange under the symbol BIOA. Despite developing a commercial-scale facility and securing technology and market partnerships, the company experienced financing and operating difficulties. On May 4, 2018, it sought protection under Chapter 11 in the United States and under the Companies' Creditors Arrangement Act in Canada. Attempts to obtain additional financing and restructure the business were unsuccessful, and the proceedings transitioned toward liquidation under Canadian insolvency proceedings and a U.S. Chapter 15 case. In October 2018, substantially all of BioAmber's assets were sold to LCY Biosciences, a purchaser associated with Visolis and LCY Chemical Corp. The transaction was intended to preserve the Sarnia plant and its bio-based succinic-acid business, although BioAmber itself ceased operations. The company no longer maintained offices or facilities after the insolvency process. Its directors resigned during the proceedings, and PricewaterhouseCoopers acted as court-appointed monitor and insolvency professional in the Canadian process. BioAmber was formally delisted from the relevant public markets, and FINRA suspended its CUSIP registration in November 2019.

BioAmber developed from a partnership between Diversified Natural Products, a New York company, and Agro-Industrie Recherches et Développements, a French research and industrial organization. The partnership was established to develop a biological route to succinic acid, a chemical intermediate traditionally made largely from petrochemical feedstocks. In 2008, the business was spun out as DNP Green Technology. It was initially based in Princeton, New Jersey, and later adopted the BioAmber name after acquiring full control of the venture from ARD in 2010. The company raised private financing in several rounds between 2009 and 2012. Investors and strategic participants included Sofinnova Partners, Mitsui & Co., Samsung Ventures, the Cliffton Group, Naxos Capital Partners, and Lanxess. BioAmber used this funding to develop its fermentation platform, operate demonstration-scale production, and prepare a commercial manufacturing project. Between January 2010 and December 2014, it produced bio-based succinic acid at a demonstration plant operated by ARD. The facility used fermenters at approximately 350,000 liters, allowing the company to gather scale-up and process data before committing to a larger plant. BioAmber's principal biological process fermented sugars using a proprietary yeast platform licensed from Cargill. Cargill had identified and developed yeast capable of operating at low pH, and BioAmber collaborated with it to adapt the organism for succinic-acid production and improve tolerance to the product at elevated concentrations. The company presented the technology as a way to make renewable succinic acid more commercially competitive while potentially reducing energy use, waste, and carbon intensity compared with conventional routes. The company complemented fermentation with downstream chemical technology. It licensed Johnson Matthey Davy Technologies' catalytic process for converting succinic-acid derivatives into 1,4-butanediol and tetrahydrofuran. Those products have applications in engineering thermoplastics, spandex and other performance fibers, solvents, printing inks, resins, and polyurethane-related materials. This broader platform was intended to give BioAmber access to markets beyond specialty succinic acid and to demonstrate that renewable feedstocks could substitute for petrochemical intermediates in established chemical processes. BioAmber's most important manufacturing project was a joint venture with Mitsui & Co. to construct a commercial plant in Sarnia, Ontario. BioAmber held 60 percent of the venture. Construction began in August 2013, and the facility began commercial operations in November 2015. The plant had planned capacity of 30,000 metric tons per year and was described as the world's largest bio-based succinic-acid plant. Its management systems received registrations or certifications including ISO 9001, ISO 14001, OHSAS 18001, and FSSC 22000 within months of start-up. The company became publicly listed in May 2013 through an initial public offering on the New York Stock Exchange. It also traded on the Toronto Stock Exchange, using the symbol BIOA on both markets. Public-market access supported the commercial plant strategy, but the business remained exposed to the substantial capital requirements, scale-up risks, commodity-chemical pricing, and demand uncertainty associated with a new manufacturing platform. BioAmber was unable to secure sufficient further financing and on May 4, 2018, entered U.S. Chapter 11 proceedings while seeking protection under Canada's Companies' Creditors Arrangement Act. The restructuring did not produce a viable recapitalization. The proceedings moved toward a U.S. Chapter 15 foreign arrangement and Canadian liquidation, with PricewaterhouseCoopers serving as the court-appointed monitor and insolvency professional. BioAmber's directors resigned during the process, and the company's assets were offered and sold under court supervision. In October 2018, substantially all assets were transferred to LCY Biosciences, a purchaser associated with Visolis and LCY Chemical Corp. The transaction was intended to keep the Sarnia operation and its technology in productive use, but it did not preserve BioAmber as an operating company. BioAmber ceased operations in August 2018, lost its offices and facilities, and was ultimately removed from the public trading system. FINRA suspended the company's CUSIP registration on November 22, 2019.

• 2019

  CUSIP registration suspended

  [2]FINRAfinra.org

  FINRA suspended BioAmber's CUSIP registration, completing the company's exit from publicly tradable markets.

• 2018

  Insolvency proceedings begin

  [1]BioAmberen.wikipedia.org

  BioAmber sought Chapter 11 protection in the United States and CCAA protection in Canada.

• 2018

  Assets transferred to LCY Biosciences

  [1]BioAmberen.wikipedia.org

  Substantially all major assets were sold through the insolvency process to LCY Biosciences.

• 2015

  Sarnia plant enters commercial operation

  [1]BioAmberen.wikipedia.org

  The commercial facility began operations with planned annual capacity of approximately 30,000 metric tons.

• 2013

  Initial public offering

  [1]BioAmberen.wikipedia.org

  BioAmber completed an IPO on the New York Stock Exchange under BIOA and also traded on the Toronto Stock Exchange.

• 2013

  Sarnia plant construction begins

  [1]BioAmberen.wikipedia.org

  BioAmber and Mitsui began construction of a commercial bio-succinic-acid facility in Sarnia, Ontario.

• 2010

  Company adopts the BioAmber name

  [1]BioAmberen.wikipedia.org

  The company acquired full ownership of its earlier joint venture with ARD and changed its corporate name to BioAmber.

• 2009

  Private financing begins

  [1]BioAmberen.wikipedia.org

  BioAmber raised institutional and strategic private capital to develop its bio-based succinic-acid platform.

• 2008

  Business spun out as DNP Green Technology

  [1]BioAmberen.wikipedia.org

  The sustainable-chemicals business was established through a spin-off from Diversified Natural Products and initially operated under the DNP Green Technology name.

Renewable and lower-carbon alternatives to petrochemical building-block chemicals, aimed at enabling more sustainable plastics, resins, coatings, polymers, food ingredients, and personal-care formulations.

• Bio-based platform chemical · 2015

  Bio-based succinic acid

  BioAmber's principal product was succinic acid made by fermenting renewable sugars with a proprietary yeast platform. The chemical was positioned as a renewable building block for polymers, resins, coatings, plasticizers, polyurethanes, pigments, food additives, and personal-care applications. The Sarnia facility was designed to produce it at commercial scale.

• Renewable chemical intermediate

  Bio-based 1,4-butanediol

  BioAmber pursued production of renewable 1,4-butanediol by combining bio-based succinic acid with licensed catalytic technology. 1,4-butanediol is used in engineering plastics, polyurethane-related materials, solvents, and other chemical products. The offering formed part of the company's planned expansion beyond succinic acid.

• Renewable chemical intermediate

  Tetrahydrofuran

  Tetrahydrofuran was a coproduct or related target of the catalytic conversion route licensed from Johnson Matthey Davy Technologies. It is used in solvents, resins, performance polymers, fibers, and printing inks. BioAmber's strategy was to use renewable succinic-acid feedstock in an established chemical-production pathway.

• 2011Bio-based chemicals commercialization program

  North America · Europe

  BioAmber promoted fermentation-derived succinic acid as a renewable alternative to petrochemical building blocks, emphasizing applications across polymers, coatings, food ingredients, and personal care.

  Outcome. The program supported partnerships, demonstration production, and the development of the Sarnia commercial plant.

  Source

• 2018

  Move from restructuring to liquidationOther

  Background

  BioAmber entered U.S. Chapter 11 and Canadian CCAA proceedings after failing to secure sufficient financing.

  Action taken

  The proceedings transitioned to a U.S. Chapter 15 foreign arrangement and Canadian liquidation, with PricewaterhouseCoopers overseeing the court-supervised process.

  Aftermath

  Substantially all assets were sold to LCY Biosciences, while BioAmber ceased operations and its directors resigned.

  Source

• 2013

  Commitment to a commercial Sarnia manufacturing facilityStrategy

  Background

  Demonstration-scale production had provided operating experience, but commercial growth required a much larger dedicated plant.

  Action taken

  BioAmber formed a majority-owned joint venture with Mitsui & Co. and began construction of a 30,000-metric-ton-per-year facility in Sarnia, Ontario.

  Aftermath

  The plant entered commercial operation in 2015 but the company later encountered financing and restructuring difficulties.

  Source

• 2010

  Rebrand and consolidate the succinic-acid platformStrategy

  Background

  After acquiring full ownership of the earlier ARD joint venture, the company needed a unified corporate identity and operating structure.

  Action taken

  DNP Green Technology changed its name to BioAmber and focused its business on renewable succinic acid and related chemical technologies.

  Aftermath

  The new identity became the basis for subsequent private fundraising, public listing, and commercial-plant development.

  Source

1. 1BioAmberen.wikipedia.org
2. 2FINRAfinra.org