Bioplastics maker Danimer merging with Live Oak Acquisitions, going public
The Georgia-based bioplastics maker’s agreement with Live Oak Acquisition Corp. will result in its listing on the New York Stock Exchange.
The biopolymers market just showed another sign of maturity as bioplastics maker Danimer Scientific has announced that it will become a publicly traded firm through a merger with acquisition firm Live Oak Acquisition Corp.
In an Oct. 5 statement, Bainbridge, Ga.-based Danimer said that the combined company will operate as Danimer Scientific and is expected to be listed on the New York Stock Exchange by late 2020 or early 2021. Danimer will continue to be led by its current CEO Stephen Croskrey.
“We are excited to partner with Live Oak and transition Danimer to be a public company,” Croskrey said in the statement. “We are at an inflection point in our growth trajectory and this transaction will fuel the next phase of our rapid commercial expansion. Our research-based approach to creating environmentally responsible solutions has attracted a blue chip, multinational customer base and our partnership with Live Oak will allow us to further scale production to meet strong customer demand for our technology. We believe PHA has the ability to eliminate the pollution caused by single use plastics worldwide, a potentially remarkable achievement. We are well positioned to further expand our 100 per cent biodegradable products to a wide range of plastic and specialty applications, with a long runway for profitable global growth.”
The Oct. 5 statement describes Danimer as a pioneer in creating natural-alternative solutions to traditional petroleum-based resins. The company’s signature polymer, Nodax PHA is a 100 per cent biodegradable, renewable, and sustainable plastic produced using canola oil as a primary feedstock. Nodax PHA is the first PHA polymer to be certified as marine degradable, the highest standard of biodegradability, which verifies the material will fully degrade in ocean water without leaving behind harmful microplastics. As a result, Nodax is said to offer a better beginning-of-life and end-of-life cycle than any of today’s traditional plastics, eliminating the need for recycling and replacing the 80 per cent of plastics that are never recycled or incinerated.
Danimer is producing and shipping Nodxa at an industrial scale level from its Winchester, Ky. facility. The company has partnered with key plastics manufacturers and consumer products companies such as PepsiCo, Nestlé, Genpak, WinCup, Columbia Packaging Group, and Plastic Suppliers Inc. as they transition a wide variety of plastic applications, including straws, food and beverage containers, flexible packaging, agricultural and medical applications, among others. Based on signed and pending contracts, the company is fully sold out of all production in its Kentucky facility and will use their increased capital base to significantly increase production, to meet the current and long-term demand of its customer base.