The Toronto-based firm, which recently filed for bankruptcy protection under the Companies’ Creditors Arrangement Act (CCAA), has developed a patented solvent-free extraction process claimed to boost the solubility, functionality, flavor and odor of canola proteins.
However, it has not been able to convince investors to part with the money to support its manufacture on an industrial scale, and recently parted company with its CEO and chairman and hung a ‘for sale’ sign over its front door.
November 15 deadline for bids
To date, several interested parties have executed non-disclosure agreements and BioExx “is in active discussion with these parties with the intent of closing a sale no later than December 31, 2013”, said the firm in a statement.
November 15th is the deadline for receiving bids, added the firm, which has been “canvassing approximately 100 potentially interested parties throughout North America and Europe”.
The problem is the financial markets. Everyone has become very risk averse
While canola protein ticks all the right boxes - non-allergenic, sustainable, good amino acid profile, great functionality - it has not taken off in the way that soy and pea protein have.
Speaking to FoodNavigator-USA in September, executive VP Samah Garringer added: “The challenge is not convincing food and beverage manufacturers about canola protein. We’ve actually got two very large customers willing to talk to investors [about its merits].
“Canola is the second largest oilseed crop in the world with an amino acid profile and functionality that make it the best vegetable protein on the market.
“The problem is the financial markets. Everyone has become very risk averse and the environment has changed a lot from when we were first talking [to investors].”
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