OPX Biotechnologies declared that it has raised $36.5 million to speed up the growth and commercialization of clean bio-based fuels and chemicals that are cost-effective, offer high returns and are highly sustainable when compared to other petroleum-based products.
The company has raised this investment in the first closing of its C-Round private equity financing. The key C-Round investor was US Renewables Group (USRG). Other investors include DBL Investors, Braemar Energy Ventures, Mohr Davidow Ventures, X/Seed Capital and Altira Group. The company received financial guidance from Pacific Crest Securities on the C-Round financing.
The investment will help the company to develop and commercialize an industrial-scale procedure for manufacturing a renewable chemical known as BioAcrylic. Petroleum-based acrylic accounts for a $8 billion global market and can be used to manufacture products such as detergents, diapers, adhesives and paints.
The company conducted an 18 month pilot-scale project, which was completed in the beginning of 2011, and implemented its proprietary Efficiency Directed Genome Engineering (EDGE) technology with unparalleled speed to develop BioAcrylic that is cost-effective and more durable when compared to petroleum-based acrylic.
OPXBIO has signed a joint deal with The Dow Chemical Company for large-scale demonstration of the BioAcrylic manufacturing process. The company expects that the process will be fully commercialized within three to five years.