Givaudan is to buy a portfolio of biofermented cosmetic ingredients for its Active Beauty business from US firm Amyris.
The ingredients include Neossance Squalane emollient, Neossance Hemisqualane plant-based silicone alternative and CleanScreen sustainable sun protector.
Givaudan and Amyris have signed a long-term partnership agreement under which Amyris will continue to manufacture ingredients for Givaudan to use in cosmetics, as well as provide access to their innovation capabilities.
Givaudan will become the commercialisation partner for future sustainable beauty ingredients.
The deal aims to leverage the value of Amyris' technology platform for designing, scaling and manufacturing the “best performing” biofermented ingredients, said Givaudan.
The terms include a combination of an upfront cash consideration and a performance based earnout, along with a long term manufacturing agreement.
Further details have not been disclosed and Givaudan plans to fund the transaction from existing resources.
Amyris’ active cosmetic ingredients business would have represented approximately $30m of incremental sales to Givaudan’s results in 2022 on a pro forma basis.
“I am delighted about this transaction, which fits perfectly with our 2025 strategic ambitions to develop our active beauty business while leveraging our biotechnology leadership in partnership with Amyris’ expertise,” said Maurizio Volpi, president of Givaudan Fragrance & Beauty.
“In the future, we will continue to push the boundaries of biotech, creating new sustainable innovations for a better beauty future,” he added.
The planned transaction remains subject to formal approvals from the relevant regulatory authorities and the transaction is expected to close in the first half of 2023.