Amyris Surges After Total Raises Stake in Biofuel Venture

(Bloomberg) — Amyris Inc., a U.S. developer of biofuels,

jumped the most in four months after the French oil company

Total SA boosted its stake in their joint venture to spur

commercial production of jet fuel made from plants.

Amyris gained 17 percent to $1.95 at the close in New York,

the biggest one-day gain since Feb. 26.

The two companies formed a 50-50 joint venture in December

2013 to produce renewable fuels. The French oil producer will

now own 75 percent after a restructuring agreement announced

Tuesday by Emeryville, California-based Amyris. Total is also

Amyris’s largest shareholder with a 20 percent stake as of

January, according to data compiled by Bloomberg.

Under the restructuring, Total and Temasek Holdings, the

second-largest Amyris shareholder, are converting about $138

million in debt into common shares priced at $2.30 each. That’s

a 37 percent premium over Monday’s closing price.

Amyris plans to restructure an additional $37 million in

convertible debt. The moves will shore up its balance sheet and

“open the way for proceeding with commercialization of its jet

fuel technology over the coming years,” according to the

statement.

Amyris uses genetically modified microorganisms to convert

plant sugars into fuels and specialty chemicals.

To contact the reporter on this story:

Justin Doom in New York at

jdoom1@bloomberg.net

To contact the editors responsible for this story:

Reed Landberg at

landberg@bloomberg.net

Will Wade, Carlos Caminada

About BloombergNEF

BloombergNEF (BNEF), Bloomberg’s primary research service, covers clean energy, advanced transport, digital industry, innovative materials and commodities. We help corporate strategy, finance and policy professionals navigate change and generate opportunities.

Available online, on mobile and on the Terminal, BNEF is powered by Bloomberg’s global network of 19,000 employees in 176 locations, reporting 5,000 news stories a day.
 
Sign up for our free weekly newsletter →

Want to learn how we help our clients put it all together? Contact us