Metabolix rejects Cellulac merger proposal

I can’t really write any long posts this week due to tight newsletter deadline but I just saw a confirmation from UK-based Cellulac that it has proposed a merger to Metabolix, which was then rejected.

Last week, Metabolix announced that it is closing its biopolymers (PHA-based) business with a layoff of around 45 positions (50% of current workforce). Metabolix said it will focus instead on its new core business, Yield10 Bioscience.

You can read all about it in this link:  Metabolix Announces New Strategic Direction: Yield10 Bioscience to Become Core Business, Biopolymers Operations to be Wound Down.

Cellulac’s CEO posted today on its website that its proposal was worth $40 million in assets and $38 million in offtake agreements. The proposed merger was a 50/50% share for share basis with Metabolix.

You can read all of the Cellulac proposal on this link: Cellulac formally requests Metabolix shareholders to consider merger proposal 

I am writing a more comprehensive analysis of these activities in Tecnon OrbiChem’s July Biomaterials newsletter.