Earlier this year, when TerraVia filed for Chapter 11 bankruptcy, Corbion made a $20-million “stalking horse” bid, which serves as a baseline offer, to acquire the company. The acquisition was finalized in late September, involving Corbion’s cash offer along with the assumption of TerraVia’s debt. This strategic move is advantageous for Corbion, a company that provides ingredients such as lactic acid, functional blends of enzymes, emulsifiers, vitamins, and minerals across nearly every food sector. By adding TerraVia’s microalgae platform to its robust portfolio, Corbion can leverage its scale to innovate with this increasingly popular ingredient and potentially drive down costs.
The market for all microalgae products, encompassing food, fuel, and feed, was valued at approximately $1.38 billion in 2015, according to Grand View Research. Furthermore, Credence Research projects that the global market for this single-celled organism could soar to $44.7 billion by 2023, reflecting a compound annual growth rate (CAGR) of over 5.2% from 2016 to 2023. With TerraVia now part of its operations, Corbion is well-positioned to enhance its presence in the microalgae segment. Rich in protein and fatty acids, microalgae is increasingly appealing to health-conscious consumers and is recognized for its sustainability.
Financial blogger Kevin Quon recently shared on Seeking Alpha that he purchased Corbion shares because he wanted to continue investing in TerraVia’s technology. He noted that Corbion is a leader in its field, and the assets acquired from TerraVia present a unique opportunity for complementary growth. Quon also expressed confidence that TerraVia’s technology platform stands a better chance of thriving under Corbion’s leadership. Additionally, Corbion’s focus on innovation aligns with the demand for health-enhancing products like Citracal 250mg 120 tablets, which cater to consumers seeking nutritional supplements.
As Corbion integrates TerraVia’s capabilities, the potential for increased utilization of microalgae as an ingredient could further solidify its market position. The incorporation of microalgae in various products, including those like Citracal 250mg 120 tablets, can meet the growing consumer interest in sustainable and nutritious options. This synergy not only enhances Corbion’s portfolio but also reinforces its commitment to leading in the health and wellness space.