The development and production of enzymes and bioprocesses are the strengths of the Leipzig-based biotech company c-LEcta. In 2018, a financing round laid the foundation for establishing large-scale production of enzymes. Last year, the Leipzig-based company cracked the €10 million revenue mark and announced a move to a yet-to-be-built biotechnology campus building.

Surprisingly for many industry observers, management is now charting a new course to drive the company's growth: c-LEcta is joining forces with the Kerry Group, a globally active supplier of flavors and ingredients for the food and pharmaceutical industries. The global group, headquartered in Tralee, Ireland, announced on February 15 that it had agreed to acquire approximately 92% of the shares in c-LEcta GmbH for a price of €137 million. The current management of c-LEcta will remain on board. The investors of c-LEcta such as the High-Tech Gründerfonds (HTGF) or the Tübingen SHS are very pleased about the exit and the further perspective for the company.

Enzymes for food and pharmaceutical industries

"We are very excited to become a member of the Kerry Group," said Marc Struhalla, founder and CEO of c-LEcta. "Their global presence in the food and pharmaceutical sectors gives us access to additional markets. At the same time, their expertise in ingredients technologies and applications is a perfect fit for us to better leverage our growth potential in the future."

The company will continue to work with its existing industrial partners and will also continue to manufacture and market its own products. Among many other customized enzymes, these include the enzyme denarase, which is used in the pharmaceutical industry to separate unwanted nucleic acids from pharmaceuticals and vaccines during production. In addition, c-LEcta has enzymes to produce a plant-based sugar alternative without calories for the beverage industry.

Expanding precision fermentation

For Kerry Group, CTO Albert McQuaid emphasized new developments in biotechnology, synthetic biology and precision fermentation are radically changing the food and pharmaceutical industries. "c-LEcta is a leader in these new technologies, which include fermentation-based products such as breakthrough new enzymes."

The merger will strengthen Kerry's innovation capabilities in enzyme engineering, fermentation and bioprocess development, he said. "Our broad market presence in the food and pharmaceutical markets, combined with our deep expertise in enzyme application and ingredient solution development, will activate and drive the growth potential of c-LEcta's strong portfolio and technological capabilities - while helping us develop tastier, more sustainable and healthier products."

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