Amyris Advances on Deal to Develop Microorganism for BASF

Apr 03, 2014 4:22 pm ET

(Updates with closing share price in second paragraph.)

April 3 (Bloomberg) -- Amyris Inc., the biotechnology company partially owned by Total SA, rose after agreeing to develop a microorganism for BASF SE.

Amyris gained 4 percent to $4.19 at the close in New York, the most since April 1.

The company, based in Emeryville, California, will develop a microorganism that produces a “relevant target molecule” for BASF, according to a statement today. Amyris didn’t say what the molecule will do or provide terms of the deal.

The companies expect the agreement to lead to other joint efforts. Amyris uses genetically modified microorganisms to convert plant sugars into fragrance oils and farnesene, a hydrocarbon that may be processed into fuels or specialty chemicals.

Total, France’s largest oil producer, owns about 18 percent of the company, according to data compiled by Bloomberg.