Botaneco to merge and specialise in natural ingredients and formulations

Ingredients supplier Botaneco will be widening its offering to specialize in natural ingredients and formulations following the merger with health sciences company Advitech.

A spinoff company from Canadian biotech firm SemBioSys, Botaneco currently offers a range of oleosome-based ingredients that can be used as moisturizing delivery vehicles for active ingredients in personal care formulations.

Back in June 2008 the SemBioSys secured funding from venture capital firm Avrio Ventures, to help commercialize Botaneco’s Hydresia range of ingredients and allow the business unit to function independently of the parent company.

Advitech has now entered into an agreement with SymBioSys to acquire all of the issued and outstanding shares of Botaneco held by SemBioSys and Avrio. In addition, the company stated it will hold an initial 9.48 percent shareholding in Advitech, but that is likely to drop over time.

Natural ingredients and formulations

The newly merged entity will operate in more channels and offer more products, than Botaneco is currently able to do, according to SemBioSys.

“The resulting entity will be a manufacturer, developer and marketer of proprietary natural ingredients and formulations for oral and topical applications,” said SemBioSys in a statement.

In order to rapidly expand the products offered by the newly merged entity, the companies will complement their own existing portfolio with the acquisition and in-licensing of other topical ingredients.

Currently, Advitech focuses on commercializing natural health products that play a role in the prevention of immune mediated inflammatory diseases such as psoriasis and inflammatory bowel disease.

In addition, the company is currently looking at wound healing.