Senomyx, Ajinomoto expand flavor collaboration
Ajinomoto have expanded their flavor collaboration to encompass
additional territories of the United States and Canada.
The firms' research, development, commercialization and license agreement is designed to bring novel flavor ingredients to a number of food product categories in North America, including soup and bouillon, sauce and culinary aids, noodles, snack food, and frozen foods. "North America is an important strategic market for our flavor ingredients and we are pleased to collaborate with Ajinomoto on developing commercial applications there," said Kent Snyder, president and chief executive officer of Senomyx. Ajinomoto has agreed to pay Senomyx an initial license fee to access the North American rights. In addition, upon commercialization, Senomyx will be entitled to a specified milestone payment from Ajinomoto as well as ongoing royalty payments based on sales of Ajinomoto products containing a Senomyx flavor ingredient. The royalty obligation includes predetermined minimum royalties. Senomyx has product discovery and development collaborations with seven leading global packaged food and beverage companies: Ajinomoto, Cadbury Schweppes, Campbell Soup, Coca-Cola, Kraft Foods, Nestlé, and Solae. According to Snyder, the firm's amended agreement with Ajinomoto "a testament to our progressive working relationships and the increasing value of our proprietary technologies when our world-class collaborators strengthen their relationships with Senomyx". In October last year, Senomyx and Ajinomoto again expanded their collaboration by entering into a second research and collaboration agreement. And earlier last year, Senomyx announced an amendment to its agreement with European food giant Nestlé. The agreement, which includes the discovery and commercialization of novel flavors and flavor enhancers, was amended to allow Senomyx to reacquire rights to certain of its flavor ingredients in certain geographic regions. As a result of the amendment, Nestlé now has rights to flavor ingredients in Europe, Asia, Israel, Oceania, Africa, the Middle East, and Latin America in specified product categories, while Senomyx has certain rights in North America and specified product categories in other geographic regions.
