BASF notifies Avantium of its exit from Synvina JV
The Netherlands-based renewable chemistry company Avantium N.V. has disclosed that its Syvinda joint venture (JV) partner, global chemicals major BASF SE, has notified Avantium of its exit from their Synvina JV, effective January 15, 2019.
The announcement follows a dispute between the parties about the future of their Synvina joint venture. The companies disagree on the timing for the fulfilment of the criteria to invest in the commercial-scale plant for FDCA (furandicarboxylic acid). Avantium continues to disagree with BASF’s interpretation of the joint venture agreement and both companies are still discussing the terms and conditions of an exit.
Upon an exit of BASF, Avantium will acquire BASF’s equity interest in the joint venture and Synvina will continue its operations as a fully Avantium-owned company. In addition, the YXY technology, know-how, and staff will revert to Avantium. This will allow Avantium to pursue alternative routes for commercializing the technology.
Synvina was formed in 2016 to commercialize the YXY technology developed by Avantium. The YXY technology catalytically converts plant-based sugar into FDCA and plastics, such as the new polymer polyethylenefuranoate (PEF).
The intent of the parties was to build the first commercial-scale plant for FDCA, the main building block for PEF, in Antwerp, Belgium.
We remain fully confident in our YXY technology and the unique properties of PEF, confirmed by high market interest and existing Synvina partnerships. We look forward to building on the work undertaken within Synvina and being free to pursue further options to reach the full potential of PEF, said Tom van Aken, CEO of Avantium.