MustGrow Biologics and Sumitomo Corporation Announce Exclusive Agreement
- Exclusive agreement with Sumitomo Corporation to evaluate MustGrow’s technology to determine commercial potential.
- Sumitomo Corporation has option to acquire exclusive rights to MustGrow’s technology for preplant soil fumigation, bioherbicide, postharvest and food preservation for potatoes, and bananas in North, Central, and South America.
- Sumitomo Corporation to fund and drive all field development, including toxicology, safety, efficacy, and regulatory work necessary for commercialization.
- MustGrow will complete its existing on-going field trials with other corporate collaborators.
04 August 2021, Canada: MustGrow Biologics Corp. (CSE: MGRO) (OTC: MGROF) (FRA: 0C0) (“MustGrow”) and Sumitomo Corporation (TYO: 8053) (OTC: SSUMY) have signed an Exclusive Evaluation and Option Agreement (the “Agreement”) to evaluate MustGrow’s technology for purposes of determining efficacy and commercial potential.
Sumitomo Corporation (www.sumitomocorp.com/en/jp) is a diversified corporation and one of the world’s largest general trading companies. Sumitomo Corporation is listed on three Japanese stock exchanges (Tokyo, Nagoya and Fukuoka under the symbol “8053”) and is a constituent of the TOPIX and Nikkei 225 stock indices. For the year ended March 31, 2021, Sumitomo Corporation had US$41.8 billion in annual revenue, US$5.4 billion of cash & cash equivalents and 957 consolidated subsidiaries & associated companies.
MustGrow’s remarkably safe and effective organic biopesticide is plant-based – harnessing the mustard seed’s natural defense mechanism to control diseases, pests and weeds.
Sumitomo Corporation Exclusive Grant
MustGrow has granted Sumitomo Corporation the right to MustGrow’s intellectual property and the exclusive option to acquire exclusive rights to MustGrow’s technology (the “Technology”) for preplant soil fumigation, bioherbicide, postharvest and food preservation for potatoes, and bananas in North, Central, and South America (the “Field of Use”). In addition to the commercial development, Sumitomo Corporation will fund and assume the role and responsibilities for conducting all toxicology, safety, efficacy, and regulatory work necessary for commercializing the Technology. Financial terms are not being disclosed.
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Additionally, Sumitomo Corporation has the non-exclusive ability to acquire rights to the Technology for Canadian canola and pulses, global turf and ornamentals, floriculture, and all postharvest and food preservation applications not covered within the Field of Use.
MustGrow Reservation of Rights
MustGrow has on-going field trials under corporate collaboration with numerous agriculture, chemical products, and consumer food companies, including those previously disclosed and several also undisclosed. MustGrow reserves the right to complete these existing field trials and pursue commercial distribution agreements excluding those areas and territories defined within the Field of Use.
MustGrow reserves all other rights including the rights to engage with third parties with respect to the Technology, excluding within the Field of Use.
MustGrow: “We are very excited to partner with a global organization like Sumitomo Corporation. With their knowledge of the entire global food market, from production, processing to shipping we see the tremendous opportunity to leverage synergies and expand our entire portfolio. The extensive global Sumitomo Corporation agriculture organization has the scope and ability to help deliver sustainable solutions for growers globally.” MustGrow COO Colin Bletsky remarked.
Sumitomo Corporation: “We are delighted to partner with an innovative company like MustGrow. We have been putting more focus on biological solutions and the collaboration with MustGrow will accelerate our strategy. By combining MustGrow’s innovative solutions and our distribution platform in the Americas, we are confident that we will be able to provide sustainable solutions to growers.” Sumitomo Corporation AgriScience Dept. GM Kazuma Suzuki remarked.