Gevo Gets $10M Investment From German Chemicals Company Lanxess

https://www.chemnet.com   May 28,2010

　　Colorado biofuel and biochemical company Gevo Inc. has received a $10 million investment from German chemicals manufacturer Lanxess AG.

　　The deal, announced Wednesday by both companies, is part of a proposed venture to produce isobutene, a material needed in rubber manufacturing, from renewable resources.

　　Lanxess' investment in Douglas County-based Gevo includes a minority shareholding in the company and a seat on its board of directors, to be filled by Ron Commander, head of Lanxess' Butyl Rubber Business Unit.

　　"We are extremely pleased to have Lanxess make a strategic investment in Gevo and appreciate their confidence in our isobutanol platform," Gevo CEO Patrick Gruber said in a statement. "We expect this renewable hydrocarbon feedstock will have many applications in a variety of chemical markets."

　　"This investment and the proposed [isobutene] cooperation broaden our future supply options against the background of volatile raw material prices and consolidation within the petrochemical industry," Lanxess chairman Axel Heitmann said in a statement. "This investment also underpins our commitment to 'Green Chemistry,' which is becoming more important to all stakeholders."

　　Lanxess' U.S. headquarters is Robinson, Pa., near Pittsburgh.

　　Privately-held Gevo, which has 55 employees, received a $40 million venture-capital investment in April 2009.

 Print  |    add to Favorites  |    Close