Willow Biosciences Inc (TSX:WLLW, OTCQB:CANSF) told investors it is advancing its functional ingredient development program for a large-volume savory foods opportunity with Kalsec Inc, a leading global producer of natural taste and sensory, food protection, colors and advanced hops ingredients for the food and beverage industry.
The company said in a statement that after a successful phase one feasibility program that applied its BioOxi platform which exceeded expectations, Kalsec has agreed to continue the full development toward commercialization that includes additional research and development (R&D) and scale-up work.
"We are excited by the opportunity to engage with Kalsec's extraordinary team in bringing to market what could potentially be a number of sustainably sourced innovative ingredients that favorably enhance customers' products and the consumer experience,” Willow president and CEO Dr Chis Savile said in a statement.
Willow said it expects to continue generating revenue from research fees and milestones, aligning with its strategic focus on near-term revenue generation on programs bringing commercial revenue in reasonable timeframes, with anticipated ongoing negotiation of commercial terms as the program advances.
“Our team has identified a number of savory food and beverage ingredient targets where we can potentially engage with Willow to help bring the best products possible to Kalsec's customers with a keen focus on market-leading innovation and sustainability,” commented Dr Roger Nahas, executive vice president of Global R&D and chief innovation officer at Kalsec.
Willow Biosciences develops and produces precision fermented functional ingredients for the health and wellness, food and beverage, and personal care markets.
Contact the author at stephen.gunnion@proactiveinvestors.com