Fibria invests CAD$5.3 million in CelluForce and becomes a strategic shareholder
The partnership provides Fibria with the exclusive right to sell and manufacture CelluForce NCCTM in the South American market
CelluForce and Fibria will jointly develop additional cellulose nanocrystal applications, a variety of industrial and manufacturing uses
Buoyed by growing interest and technological advances in its innovative product called CelluForce NCC™, a form of high-quality cellulose nanocrystals (CNC), CelluForce has signed a multifaceted strategic partnership with Fibria, a Brazilian forestry company and the world’s leading eucalyptus pulp producer.
For CelluForce, this partnership is an important milestone that builds on its leadership in the development of applications and production technologies for CNC. The partnership includes technological, commercial, and financial components.
First, concerning technology, CelluForce gains a strategic partner with whom it will further develop CNC-based products and applications using Fibria’s broad resources and expertise.
Second, Fibria becomes a commercial partner for CelluForce and has the exclusive right to market and sell CelluForce NCCTM across South America.
Third, from a business perspective, Fibria will have the option to further diversify its eucalyptus forest business and add the production of CNC to its operations. More specifically, Fibria will have an exclusive right to partner with CelluForce for the building of future CNC production plants in Brazil or elsewhere in South America.
Finally, Fibria will join Domtar, Schlumberger and FPInnovations as a strategic shareholder through an investment of CAD$5.3 million, which will enable CelluForce to accelerate both application and production development.
“The partnership with Fibria is a milestone in so many ways for us. Not only does it expand the reach of our innovative product, it validates the strength of both our production technology and our teams,” explained Sebastien Corbeil, President and CEO of CelluForce. “Fibria did a thorough technical, financial and commercial due diligence as part of its selection process before deciding on CelluForce; the partnership confirms our global industry leadership position.”
“For Fibria, a partnership with CelluForce is truly a strategic move,” commented Marcelo Castelli, CEO of Fibria. “It aligns perfectly with our growth strategy which relies on diversification using a bio-refining focus. Partnering with an advanced biomaterial player such as CelluForce brings us further along that path.”
CelluForce has built a strong network of academic and industrial partners and continues to invest time and resources to develop, refine and expand applications for CNCs in priority industrial sectors. Taking effect immediately, the partnership with Fibria will add to CelluForce’s already extensive capabilities, and allow Fibria to explore and commercialize new CNC-based products and applications and open up new geographical markets in South America.