Functional Technologies signs agreement for AP yeast technologies

Functional Technologies Corp. said it has entered into a collaboration agreement with an undisclosed company to evaluate its proprietary acrylamide-preventing (AP) yeasts in one of several applicable sectors of food-related products.

This preliminary collaboration is a fundamental step in the process of developing partnerships with global firms that possess established and significant capabilities in bioindustrial applications as well as in the manufacture, production and distribution of microorganism-based products.

Such partnerships are expected to better position the company to accelerate the commercial progression of its novel yeast-based solutions to naturally occurring contaminants and toxins.

Under the terms of this initial agreement, Functional Technologies and its partner will seek to confirm the general and performance characteristics of the company's AP yeasts, including the ability to reduce the main precursor asparagine to prevent the formation of acrylamide in the pre-specified food sector, and under industrial conditions provided by the partner.

Other multinational companies are able to begin or continue to evaluate Functional Technologies' AP yeasts in this particular food category, as well as the other various applicable food-based sectors.

The partner is granted a right of negotiation to license or commercialize the company's AP technologies that precludes other commercial agreements in this pre-specified sector during a fixed evaluation period.

Functional Technologies says it retains the rights to negotiate commercial agreements for its AP yeast technologies in all other food applications.

Additional terms of the agreement are undisclosed.