LS9

LS9

Biotechnology company developing UltraClean™ fuels and sustainable chemicals made with the power of synthetic biology.

HQ location
San Francisco, United States
Website
Launch date
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Enterprise value
$62m
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$61.5m

Valuation: $61.5m

Acquisition
Total Funding000k
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LS9, Inc. was an industrial biotechnology firm established in 2005, focusing on the development of renewable petroleum and sustainable chemicals. The company was co-founded by Steve del Cardayre, who has over 25 years of experience in microbial engineering and industrial biotechnology. LS9's core technology centered on synthetic biology, specifically engineering microorganisms like E. coli to convert renewable feedstocks into tailored hydrocarbon biofuels and chemicals. This proprietary process involved a one-step fermentation where microbial catalysts performed all chemical conversions, secreting an immiscible final product that could be separated efficiently without distillation, offering a significant cost and energy advantage.

The company's versatile technology platform was designed to utilize a variety of feedstocks, including sugar cane, corn syrup, glycerin, and cellulosic sugars, allowing for strategic flexibility based on cost and availability. This enabled the production of over 1,000 unique products, such as drop-in fuels, detergents, and chemicals for the personal care market. LS9's innovations were recognized with the U.S. EPA's highest environmental honor in 2010. The company operated a demonstration production facility in Okeechobee, Florida, to scale its technology from the lab to pilot production capable of producing thousands of liters.

LS9 secured significant funding from notable investors including Khosla Ventures, Flagship Ventures, Lightspeed Venture Partners, and Chevron Technology Ventures. In January 2014, LS9 was acquired by Renewable Energy Group, Inc. (REG) for a total potential consideration of up to $61.5 million in stock and cash. Following the acquisition, the majority of the LS9 team was integrated into a new subsidiary named REG Life Sciences, which continued to operate from LS9's headquarters in South San Francisco, California. The deal was structured to combine LS9’s advanced biotechnology platform and robust patent portfolio with REG's established production and commercialization capabilities to accelerate the market entry of renewable chemicals.

Keywords: renewable chemicals, industrial biotechnology, synthetic biology, biofuels, E. coli fermentation, sustainable fuels, fatty acid synthesis, microbial engineering, renewable petroleum, biomanufacturing, feedstock flexibility, biochemicals, green chemistry, drop-in fuels, fermentation technology, metabolic engineering, REG Life Sciences, Chevron Technology Ventures, Khosla Ventures, biorefinery

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