Cargill, Evolva to develop steviol glycosides

REINACH, Switzerland – The newly forged partnership between Evolva Holding SA (SIX: EVE) and Cargill will for the first time enable the production and commercialisation of fermentation-based steviol glycosides. Cargill, a leader in the stevia-based sweetener category with consumer products and as an ingredient, will provide expertise in manufacturing and commercialisation. It agrees to make a USD 5.3 million (CHF 5 million) equity investment in its new partner.

Evolva is a pioneer and leader in sustainable, fermentation-based approaches to ingredients for health, wellness and nutrition, such as stevia, vanilla, saffron and resveratrol, and high-value ingredients for the OTC personal care and pharmaceuticals markets. In the agreement, the company will receive USD 7.5 million in milestone payments and has the right to a 45% participation in the final business. Should it decide not to exercise this option, it will receive royalty payments from global sales of the co-developed steviol glycoside products; these royalties will scale from mid-single digit to low double-digit percentages as a function of sales volume and other parameters.

Stevia (stevia rebaudiana) is grown, harvested and used as a sweetener in many countries. Steviol glycosides are the molecules that give the leaves their sweet taste. At present, commercially available steviol glycosides come from stevia plants grown and harvested in an agriculture setting. Evolva claims to be the first company to adapt fermentation technology to produce a range of commercially relevant steviol glycosides, using sustainable, low-cost, carbohydrate feedstocks, which can be sourced anywhere.

Evolva and Cargill believe that fermentation-derived steviol glycosides have the potential to unlock more value from stevia.  Fermentation-derived steviol glycosides will benefit food and beverage manufacturers in a number of ways:

- It will allow better tasting steviol-glycoside-based products (the best-tasting stevia leaf molecules are not currently commercially available due to their very low concentrations in the plant).

- It will allow steviol glycosides to become a more economic product for companies and consumers alike.

- It will allow steviol glycosides to be produced using a simplified and scalable supply chain.