– Set up a new food ingredient factory using cell culture technology
– The equity investment to Egnis, food developer & distributor to secure the sales base for both companies
(PROSTEMICS=August 11, 2017)
Prostemics (KOSDAQ 203690, CEO Lee Won Jong) announces that it enters food ingredient business including probiotics on August 11.
The company’s board of directors consented to the land purchase to build a new food ingredient factory and investment to Egnis, a food developer and distributor on August 10.
Prostemics purchases the 9,739m2 lands for the factory for the mass production of functional food ingredient in Chuncheon at about 1.3billion won. The company will build the production facilities by February 2018, and enlarge the range of production considering the operation.
Additionally, the company acquires the 14.3% of Egnis that has Labnosh, a popular meal replacement brand. Prostemics will supply food ingredients to Egnis, and both companies will do co-marketing activities.
Prostemics has the research results about the improved prognosis of irritable bowel syndrome using new lactic acid bacteria culture and active compound separation technology. The company is seeking the approval for functional food business on the results.
In July, the company was selected as the company for the innovative technology development program of the Korean government with its ‘Development of new bio food materials for senior using a nanovesicles’ project and was determined to get governmental support for 2 years accordingly.
An internal person of the company said, “Since the early stages of our company, we have studied active compounds in cell-to-cell communications and now we are expanding our business to food industry based on the results of these studies” and “the materials can also be used in medicines and cosmetics, contributing to increased sales with our stem cell medium”.