Diversa and Celunol merge to create Verenium Corporation
Diversa Corporation and Celunol Corp. announced that they have completed their merger transaction.
The combined company, which has been renamed Verenium Corporation, possesses a growing portfolio of specialty enzyme products and unique technical and operational capabilities designed to enable the production of low-cost, biomass-derived sugars for a multitude of major industrial applications. The most significant near-term commercial opportunity for Verenium will be the large-scale commercial production of cellulosic ethanol derived from multiple biomass feedstocks.
Stockholders of both companies approved the merger and merger-related proposals, and all regulatory approvals and closing conditions have been satisfied.
Verenium will be structured and managed as three interdependent, organizational units: Specialty Enzymes Business Unit, Biofuels Business Unit, and Research and Development.
The Specialty Enzymes Business Unit currently generates commercial revenue from multiple sources, including industrial enzyme product sales, technology licenses, strategic partnerships, and government grants.
The Biofuels Business Unit will be primary focused on the commercial-scale production and sale of cellulosic ethanol from company-managed production facilities throughout the United States, as well as strategic partnerships and related revenue arrangements around the world.
The Research and Development organization’s primary goal will be to support both Verenium Business Units, as well as various existing collaborative partners.
Verenium’s Board of Directors will initially consist of nine members, six from Diversa and three from Celunol. The non-employee board members are: Dr. James Cavanaugh, who will serve as chairman of the Board of Directors; Peter Johnson; Fernand Kaufmann, Ph.D.; Mark Leschly; Melvin Simon, Ph.D.; Cheryl Wenzinger; Joshua Ruch; and Michael Zak.
The Company’s executive management team is led by Carlos A. Riva, president, chief executive officer, and director, and John A. McCarthy, Jr., executive vice president and chief financial officer.
Verenium will be headquartered in Cambridge, Massachusetts and will issue 15 million shares of common stock in exchange for all outstanding equity securities.