Vancouver-based Burcon NutraScience Corp. (BU.T) announced a
20-year licensing agreement with agribusiness giant Archer Daniels
Midland Co. (ADM) for its Clarisoy soy protein, a deal which will
give the Canadian company its first earnings stream.
Clarisoy, a transparent, soluble product, can be added to
ready-to-drink beverages to provide the benefits of soy without
affecting their properties, such as making them cloudy, according
to Burcon's website. It sees other applications for the product
beyond beverages.
The license agreement gives Archer Daniels Midland exclusive
rights to make and market Clarisoy across all geographic regions
and all potential product applications. It will make unspecified
royalty payments to Burcon on the sales of Clarisoy under the
20-year deal.
Trading in Burcon was halted earlier Friday in Toronto. The
stock last changed hands at C$11.32.
-By Carolyn King, Dow Jones Newswires; 416-306-2100;
carolyn.m.king@dowjones.com