Green chemistry innovator, Segetis, Inc., closes Series B Funding
Announces Leadership Change
Golden Valley, MN, January 6, 2010 Segetis, Inc. announced today that it has closed its $17.2 million Series B round of financing. This new round was led by the Malaysian Life Sciences Capital Fund, co-managed by Burrill & Company, with participation from DSM Venturing. Khosla Ventures, which led the Company's A round in 2007, continued their strong support by participating as well.
"We are very pleased to join Segetis at this point in its development, said Roger Wyse, Managing Director of Burrill & Company. "The global need for sustainable solutions in the chemical and materials sectors represents a huge market opportunity and Segetis has the team and technology to make a real impact in this market. In addition Malaysia can be a cost effective location for Segetis to access renewable feedstocks and a beach head for the Asian markets."
Segetis will use the new funds to validate its technology in cooperation with development partners and to drive near-term commercialization of their proprietary levulinic ketal technology. Segetis has an operating "semi-works" facility producing the bio-based monomers, derived from renewable feedstocks, that are being evaluated as sustainable replacements for plasticizers, solvents and polyols. Babette Pettersen, Vice President New Business Development for DSM's Performance Materials Cluster also stated "Segetis' technology platform perfectly fits our vision to increase functionality of materials through sustainable chemistry. We look forward to combining the knowledge of both companies to develop bio performance materials that offer both novel functionality and reduced carbon footprint."
Separately, Segetis announced that James Stoppert will retire as President and Chief Executive Officer. Stoppert joined Segetis in 2008 and led the company through an intense period of growth and development across all facets of the organization. "We thank Jim for his many contributions to the Segetis organization. His experience and leadership have positioned the company well for the future," said Samir Kaul, Founding General Partner at Khosla Ventures.
Replacing Stoppert is Atul Thakrar. With over 20 years of strategic and operational experience in the specialty chemicals and energy sectors, Thakrar now leads the Segetis team as President and Chief Executive Officer. Thakrar comes to Segetis from Soane Energy, a Boston-based specialty materials startup, where he was President and Chief Operating Officer from 2007 to 2009. Prior to Soane, Thakrar held positions of increasing responsibility at Cytec Industries and Rohm and Hass, including global business unit leadership for both organizations. At Cytec from 2003 through 2006, Thakrar served as Vice President, first building the Coatings and Specialty Additives Business Unit and then leading the $760+ million Liquid Coatings and Resins business while stationed in Brussels. Thakrar was previously with Rohm & Haas for 15 years, serving in such diverse capacities as Business Director, Greater China for Coatings, Adhesives and Sealants, and Managing Director, Country Manager - India. Thakrar holds a BSc in applied chemistry from University of Waterloo (Ontario, Canada) and an MBA from Ivey Business School (London, Ontario).
"I look forward to leading the Segetis team through this important next phase of our development. The company has demonstrated the viability of its technology and is now actively engaging the marketplace to commercialize our materials," said Thakrar. "Demand for green chemicals continues to grow in many market segments, and our unique biobased monomers and products deliver both compelling performance and strong environmental benefits. About Segetis, Inc.
Segetis, a technology-enabled green chemistry company, produces versatile, cost-effective chemical building blocks, called monomers, which harness the power and reliability of renewable agricultural and forestry resources. These proprietary monomers are backed by a strong intellectual asset portfolio built on filed composition of matter patents and a management team that leverages over 150 years experience in new material and renewable technology commercialization. Segetis uses these biobased monomers to make chemicals and plastics that address multiple billion dollar markets, transforming the chemical industry by offering unique material properties, cost effective economics and a dramatically improved health and environmental footprint. For more information, visit www.segetis.com.
About Khosla Ventures
Khosla Ventures offers venture assistance, strategic advice and capital to entrepreneurs. The firm helps entrepreneurs extend the potential of their ideas in breakthrough scientific work in clean technology areas such as solar, battery, high efficiency engines, lighting, greener materials like cement, glass and bio-refineries for energy and bioplastics, and other environmentally friendly technologies as well as traditional venture areas like the Internet, computing, mobile and silicon technology arenas. Vinod Khosla founded the firm in 2004 and was formerly a General Partner at Kleiner Perkins and founder of Sun Microsystems. Khosla Ventures is based in Menlo Park, California.
About Burrill & Company
Burrill & Company is a life sciences merchant bank focused exclusively on companies involved in biotechnology, industrial (biomaterials/bioprocess) and agricultural biotechnology, pharmaceuticals, health & wellness and human healthcare related medical technologies, with over $950 million in venture capital under management. Burrill's technical and venture investing competence spans the entire spectrum of life sciences. In addition, Burrill is a leader in life science strategic partnering, an invaluable practice to build value in portfolio companies and to accelerate their growth and development. Visit www.burrillandco.com.
About Malaysian Life Sciences Capital Fund
The Malaysian Life Sciences Capital Fund (MLSCF) is a life sciences venture fund specializing in early stage investments in agriculture, industrial and healthcare biotechnology. Co-managed by Malaysian Technology Development Corporation Sdn Bhd (MTDC) and Burrill & Company, the fund was founded in late 2006 and currently has USD150 million in committed capital. The fund invests globally in companies that can accelerate the development of the biotechnology industry in Malaysia.
About DSM Venturing
DSM Venturing is an active investor in start-up companies, which create innovative products and services in Life Sciences and Materials Sciences that contribute to the quality of life. DSM Venturing's mission is to explore emerging markets and technologies in order to support DSM's innovation and growth strategy. Besides financial support, DSM Venturing supports the start-up companies with DSM's knowledge, resources and networks in order to establish mutual benefits and learnings. To DSM, venturing is an integral part of DSM's open innovation approach, focused on teaming up with innovative players all over the world. More information: www.dsm-venturing.com. DSM has annual net sales of EUR 9.3 billion and employs some 23,500 people worldwide. The company is headquartered in the Netherlands, with locations on five continents. DSM is listed on Euronext Amsterdam. More information: www.dsm.com.
For More Information:
Snehal Desai
Segetis, Inc.
(763) 795-7200
