Reverdia, the joint venture (JV) company between Royal DSM and French starch and starch derivatives company Roquette Frères and manufacturer of bio-based succinic acid will be dissolved as of 1 April, DSM announced 22 Feb.
Succinic acid is a chemical building block used in the manufacture of polymers, resins, food and pharmaceuticals, among other products.
Bio-based succinic acid offers a renewably-sourced alternative to petroleum-derived chemical building blocks such as adipic acid and phthalic anhydride, which are used to manufacture compounds such as polyols and plasticisers. Bio-succinic acid can also replace petrochemically-produced succinic acid in the production of 1,4-butanediol (BDO).
Royal DSM and Roquette started working on bio-succinic acid in 2008, a project that led to the establishment of a demonstration plant in Lesterm, France in 2010.
Later that year, the two companies formed the joint venture company Reverdia for the production, commercialisation and market development of their sustainable succinic acid. In 2011, Reverdia announced the construction of a 10-kilotonne-per-annum commercial-scale plant for the production of bio-succinic acid at Roquette’s production site in Cassano, Italy.
The plant has been producing bio-succinic acid under the trademark Biosuccinium since 2012.
In its 22-Feb statement, DSM said with the JV’s closure, the partners would transfer the rights and obligations related to Reverdia’s plant in Cassano to Roquette.
Under a non-exclusive license from DSM, Roquette will operate the plant and supply Biosuccinium to customers.
Customer service, order processing, and marketing and sales will be integrated into Roquette’s existing business to ensure a smooth transition.
DSM, the original developer of the Biosuccinium technology, will become the exclusive licensor of the technology to customers and other third parties.
“This is an example of DSM doing what it does best — establishing market-leading technologies and commercialising them,” said Atul Thakrar, president of bio-based products and services at DSM, commenting on the decision.
Biosuccinium technology, he went on to say, is “the most sustainable and competitive bio-succinic acid on the market today”.
“We have gone well beyond the start-up phase and the Biosuccinium brand will continue to grow under the leadership of our partner Roquette,” he added