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    Sofinnova Industrial Biotech

    AFYREN inaugurates its first factory, AFYREN NEOXY, a first-of-its-kind biorefinery

    Related Strategy

    Industrial Biotech

    Related Deal lead

    Michael Krel

    Related Company

    Afyren
    • The plant, in Carling Saint-Avold in France’s Moselle region, uses short supply chains to produce seven 100% biobased acids that offer customers in sectors such as food, flavors and fragrances or chemicals as an alternative to the petro-based acids usually used
    • A unique, low-carbon, zero-waste biorefinery strategically located in the heart of Europe for its international customers and suppliers
    • Production will ramp up to 16,000 metric tons of biobased carboxylic acids in 2024, saving 30,000 tons of CO2 emissions per year
    • A unique industrial accomplishment resulting from the association between AFYREN and Bpifrance, through its Sociétés de Projets Industriels (SPI) fund. The project has created 60 direct and 200 indirect jobs, and is playing a key role in the emergence of the bioeconomy sector

    Clermont-Ferrand/Lyon, September 29, 2022 at 8 A.M. CESTAFYREN, a greentech company that offers manufacturers bio-based, low-carbon ingredients produced using unique fermentation technology based on a completely circular model, is inaugurating its first large-scale plant, AFYREN NEOXY, in Carling Saint-Avold (Grand Est, Moselle, France) on the Chemesis industrial platform.

    A factory that came online within its deadline and budget

    After the start of construction in December 2020, major milestones included obtaining the operating permit, completion of civil engineering work, construction of the plant and the gradual industrial commissioning of its various units. All told, it only took 20 months for AFYREN NEOXY to open its doors, on September 29, 2022.

    Perfectly operational and secure, the biorefinery has reached production start-up phase in the 2022 calendar year, as announced. AFYREN plans to gradually increase volumes to produce 16,000 metric tons of carboxylic acids within two years, a world first. At this stage, 70% of AFYREN NEOXY's target production of organic acids has already been pre-sold.

    Nicolas SORDET, CEO of AFYREN: “The inauguration of this first industrial unit on time and on budget, despite the health crisis, is a tribute to all the efforts made to keep to the schedule we had set for ourselves. On behalf of AFYREN, I would also like to thank all our partners who have supported our project and enabled us to meet our objectives for growth.”

    A strategic location

    Thanks to its location in the center of the European beet-producing basin, AFYREN NEOXY has been able to commit to respecting short supply chains through a contract that provides for the delivery of co-products from sugar-beet crops located within a maximum radius of a few hundred kilometers from the factory.

    As it is close to its main customers in Northern and Eastern France, the Benelux countries and Germany, the plant can offer secure, low-carbon delivery to its partners

    Jean Saint Donat, President of AFYREN NEOXY: "This inauguration is the concrete expression of AFYREN's ambition: to decarbonize chemical production on a large scale while maintaining a local approach. Our location in the Grand Est region allows us to ideally reconcile our regional presence with international scope."

    A proprietary technology platform based on natural microorganisms

    Based on natural micro-organisms and protected worldwide by ten patent families, our AFYNERIE® technology produces seven 100% biobased organic acids. These acids have several applications in six key sectors: human food, animal feed, flavors and fragrances, lubricants, materials science and life sciences.

    The carboxylic acids produced by AFYREN offer a low-carbon alternative to their traditionally petro-based equivalents. They are directly derived from sugar beet co-products and are transformed on the Saint-Avold platform through fermentation, extraction and purification steps.

    This biomimetic process also produces a fertilizer that can be used in organic agriculture, optimizing resources in a completely circular approach. By producing biobased acids that have the same application performance as petro-based acids, and that meet stringent certifications, AFYREN offers a sustainable alternative to its partners, allowing them to achieve a significantly improved carbon footprint.

    A biorefinery grounded in the environmental, economic and societal challenges of the territories where it operates

    AFYREN has raised a total of more than €80 million euros in funding from public and private sources to complete this industrial project:

    To take its technology into the industrial phase, AFYREN chose to partner with Bpifrance, through its Société de Projets Industriels (SPI) fund. AFYREN NEOXY is a joint venture, 51% owned by AFYREN and 49% by the "Société de Projets Industriels" (SPI) fund managed by Bpifrance.

    "We are convinced of the potential of AFYREN's technology in terms of the decarbonization of industry and its ability to promote a strong, competitive and job-creating bioeconomy. This alliance through AFYREN NEOXY is a perfect illustration of our purpose: to enable the most promising industrial projects to find support for their development," said Magali Joessel, Director of the SPI fund at Bpifrance.

    The company has also benefited from strong support from the European Union and the Bio-based Industries Joint Undertaking (BBI JU)*, which initiated the creation of the AFTER-BIOCHEM international partnership platform, which brings together 12 key bioeconomy players

    As part of the conversion of the Carling Saint-Avold platform, Total Energies not only provided financial support but also offered operational assistance, supporting AFYREN NEOXY as it navigated issues related to the environment, utilities, services and methods, facilitating the industrial hosting of the plant on the platform.

    In addition, the construction of the production site benefited from significant support of the Grand Est Region and the Communauté d'Agglomération de St-Avold Synergie (CASAS), both very involved in the development of the bioeconomy sector.

    AFYREN also relied on financing from the France Reliancerecovery plan to set up its Saint-Avold site and to do some of the advance work for the AFYREN NEOXY plant.

    AFYREN NEOXY was also able to count on the support of its long-standing partners in the structuring of its bank financing: BNP, Banque Populaire, Crédit Agricole and Bpifrance.

    A meaningful industrial project that creates jobs

    The commissioning of the site involved the recruitment of 60 people, covering the whole range of industrial professions (production, maintenance, quality control, security, and administration).

    AFYREN NEOXY set up a partnership with Pôle-emploi and the IUT of Saint Avold to recruit its factory operators, selecting a wide variety of candidate profiles according to their capacities and skills, and training them in the trades required. With the recruitment of this diverse and competent team, AFYREN seeks to strengthen its CSR governance model, grounded in benevolence and the involvement of its employees within a meaningful project.

    While solidly anchored in its region, the company is contributing to the development of the bioeconomy sector in France and Europe, serving a growing global demand and creating industrial jobs that cannot be outsourced.

    "On the strength of this first success, we are already studying two scenarios for the establishment of a second plant in North America or Asia. We are obviously evaluating the structuring of the financing, but we are also carefully studying the environmental components so that this second plant will also benefit from access to local biomass and short supply chains," said Nicolas Sordet, CEO and co-founder of AFYREN. "This first inauguration is therefore only the beginning of a major collective undertaking: building a global and circular low-carbon industry by providing biobased solutions built for and with our environment."

    *The Bio-based Industries Joint Undertaking was a public-private partnership between the EU and the Bio-based Industries Consortium between 2014 and 2021. The new partnership Circular Bio-based Europe Joint Undertaking (CBE JU) took over the activities of BBI JU in November 2021.

    About AFYREN

    Founded in 2012 to meet the growing need of industries to reduce the use of petroleum derivatives in their production chain, AFYREN produces biomolecules derived from the reuse of non-food biomass. These ingredients are widely used in human and animal nutrition, flavors and fragrances, cosmetics, and fine chemicals. This production process replicates the exact properties of equivalent petro-sourced molecules, largely used in the human and animal nutrition, cosmetics, flavors and fragrances and fine chemicals sectors.

    By offering natural alternatives to these strategic markets, AFYREN is engaged in a low-carbon economy and proposes a truly circular approach with the use of local biomass and the choice of a strategic location, as close as possible to its customers.

    Resulting from 10 years of research, AFYREN's disruptive innovation won the 2030 Global Innovation Contest in the "Plant proteins and plant chemistry" category and was selected in the French Tech 120 in 2020 and 2021. In 2018, AFYREN committed to its industrial project by creating the AFYREN NEOXY joint venture with Bpifrance’s SPI fund.

    AFYREN NEOXY is dedicated to the first industrial production of AFYREN natural organic acids in the Grand Est region.
    In 2022, the AFYREN NEOXY factory opened its doors. AFYREN and AFYREN NEOXY now employ nearly 100 people at their sites in Lyon, Clermont-Ferrand and Carling Saint-Avold.

    In 2021, AFYREN listed on Euronext Growth® exchange in Paris with the objective of accelerating its industrial development (Afyren's ISIN: FR0014005AC9, ticker: ALAFY).

    For more information: AFYREN.com

    About Bpifrance and the SPI fund, Société de Projets Industriels

    Bpifrance finances companies - at every stage of their development - with credit, guarantees and equity capital. Bpifrance supports them in their innovation and international projects. Bpifrance also insures their export activity through a wide range of products. Consulting, universities, networking and accelarators for startups, SMEs and ETIs are also part of the offering to entrepreneurs. Thanks to Bpifrance and its 50 regional offices, entrepreneurs benefit from a close, single and efficient contact to help them face their challenges.

    The SPI 1 fund, managed by Bpifrance on behalf of the French government within the framework of France 2030 and the European Investment Bank (EIB), is designed to support the development of industrial projects that offer the greatest potential for activity and employment in industrial sectors. It acts as a prudent equity investor in companies with industrialization projects selected on the basis of their growth potential, current industry positioning and their contribution to the ecological and energy transition. It is thus one of the financial levers of the New Industrial France.
    More information on: www.bpifrance.fr - https://presse.bpifrance.fr/ - Follow us on Twitter : @Bpifrance - @BpifrancePresse - Find the SPI fund on LinkedIn: SPI Fund - Industrial project companies

    CONTACTS

    AFYREN
    Caroline Petigny
    Sustainability, Communication and Public Affairs Director
    caroline.petigny@afyren.com

    NewCap Investor Relations
    Théo Martin / Mathilde Bohin
    Tél : 01 44 71 94 94
    afyren@newcap.eu

    Bogert-Magnier Communications
    International Media relations
    James Connell
    Tel: +33 6 2152 1755
    jim@bogert-magnier.com

    NewCap
    French Media Relations
    Nicolas Merigeau / Gaëlle Fromaigeat
    Tél : 01 44 71 94 98
    afyren@newcap.eu

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