Vancouver-based Enwave Corp. reached two new agreements with a large American food manufacturer October 13.
Enwave (TSX-V:ENW) had already signed a licence agreement with Milne Fruit Products Inc. earlier this year. Its two new agreements with Milne broaden the territory, as well as product lines, in which Milne can use Enwave technology.
Enwave’s process quick-dries food using microwaves and a vacuum system that neither heats nor removes as many nutrients as other drying technology.
“We’ll get a significant royalty out of this, if it reaches the scale that we expect,” Enwave co-CEO Tim Durance told Business in Vancouver following his company’s announcement.
“So, it’s good for revenue and good for proving the technology in the commercial realm. I can’t identify the territories involved or the products involved.”
Milne is one of Enwave’s smaller partners. Enwave signed its fifth major pact with a multinational in June, giving Kellogg Co. (NYSE:K) exclusive rights to use Enwave’s system for 12 months to produce cereals and cereal bars.
Previous Enwave partnerships with multinationals include:
- a December 2010 deal with Grimmway Farms, the world’s largest grower, producer and shipper of carrots;
- an October 2010 agreement with Latin America’s Grupo Bimbo, the world’s largest baking company, which bought fresh bread divisions in the past year from George Weston Ltd. and Sara Lee Corp.;
- a July 2010 agreement with Swiss food manufacturer Nestlé S.A.; and
- a May 2009 deal with the Danish food giant Danisco, which Dupont (NYSE:DD) bought in June for US$6.3 billion.
Glen Korstrom
@GlenKorstrom