Sharon Laboratories capitalizes on Deinove to sustain its development activities
06.02.2020
•The signed Memorandum of Understanding (MoU) covers the development and marketing of an exclusive range of bio-based ingredients for personal care from DEINOVE’s platform.
•This decisive and unprecedented agreement, to be finalized by the end of March 2020, will have an initial term of 3 years and provides for partial financing of activities and royalties on sales.
•Even before the conclusion of the contractual agreement, Sharon Laboratories demonstrates its commitment with the immediate payment of $200k, being only a part of the substantial upfront payment to be paid after the signing of the final agreement.
DEINOVE (Euronext Growth Paris: ALDEI), a French biotech company that uses a disruptive approach to develop innovative antibiotics and bio-based active ingredients for cosmetics, announced having signed a Memorandum of Understanding (MoU) with the Israeli group Sharon Laboratories, a specialist in preservative solutions for personal care. It aims at entering into an exclusive partnership for the development and marketing of a range of new bio-based solutions, including bioactives, arising from DEINOVE’s platform.
Expanding the potential of DEINOVE’s platform towards advanced bio-based applications
Sharon Laboratories is a world leader in preservative solutions for personal care. Driven by the growing consumer and brand demand for naturally and sustainably sourced ingredients, Sharon Laboratories wishes to entrust DEINOVE with joint development of a new range of bio-based and differentiated solutions.
This collaborative R&D program will benefit from DEINOVE's accumulated expertise in leveraging the properties of its collection of rare microorganisms. It will expand the potential of DEINOVE's biotechnology platform to a substantial and promising market, building on Sharon Laboratories 40 years of experience in the personal care preservation field. The global cosmetic market is seeking natural solutions to replace existing synthetic ingredients. As the natural cosmetics segment continues to grow, the demand for such ingredients will grow with it.
The draft agreement grants an exclusivity in various ingredient and functions to Sharon Laboratories, keeping DEINOVE's free to develop additional collaborations.
A path-breaking partnership
DEINOVE and Sharon Laboratories have signed an MoU for an agreement to be finalized by the end of the first quarter of 2020. This decisive agreement has an initial term of 3 years and provides for the regular payment of significant milestones, amounting to several millions of dollars, as well as royalties on sales once commercialized. Sharon Laboratories demonstrates its commitment with the immediate $200k payment.
"This upcoming decisive and unprecedented agreement with Sharon Laboratories underlines the quality and versatility of our technological platform. Expanding into the demanding and promising new fields and functions is a great opportunity for DEINOVE. Doing so in the framework of an exclusive agreement with one of the main industry leaders, who shows his commitment already today, would ensure our success", says Charles Woler, CEO of DEINOVE.
"We are excited to enter into this new field which we believe is the future of the cosmetic industry. Sharon Laboratories created a strong foundation for expedited growth, and we find DEINOVE to be the right partner to join us in this journey. We believe DEINOVE's technology, know-how and people align well with Sharon's strong capabilities and growth strategy", says Ari Melamud, CEO of Sharon Laboratories.