BioAmber Buys Mitsui Equity Stake in Sarnia Joint Venture

BioAmber Inc has entered into a definitive agreement to purchase Mitsui & Co Ltd's (Mitsui) entire minority equity position in the Sarnia manufacturing joint venture.

Following the closing of the transaction, BioAmber will own 100 percent of the BioAmber Sarnia production facility. Mitsui will still continue to distribute BioAmber's bio-succinic acid in Asia and other markets. 

Given Mitsui's longstanding presence in Canada and its shareholding in BioAmber, the parties negotiated terms that allowed Mitsui to achieve its corporate objectives while enabling BioAmber to assume full ownership of the Sarnia facility. 

"This transaction is a meaningful opportunity for BioAmber shareholders. Now that the Sarnia plant is ramping up, full ownership enables BioAmber to retain 100 percent of projected profits and explore new opportunities with potential partners for the Sarnia facility while continuing to benefit from Mitsui's marketing and distribution capabilities, especially in Asia," said Fabrice Orecchioni, BioAmber's president and COO.