US agribusiness acquires biotechnology firm Ceres

Land O’Lakes, a US agribusiness, has acquired California-based biotechnology firm Ceres.

Ceres will become part of Land O'Lakes' forage business unit currently comprised of Forage Genetics International (FGI).

Ceres develops and produces seeds of genetically modified crops used for biofuels production.

The transaction brings new advanced plant breeding and biotechnology to FGI's research and development pipeline, creates the potential to bring new forage traits to market faster and places the business in position to expand the portfolio to become a holistic forage provider to its customers.

According to FGI, it has significant expertise in field testing, product development and regulatory approval of traits.  In a statement, FBI said that combining Ceres and FGI is a joining of complementary strengths and capabilities designed to accelerate the path to creating new forage solutions for farmers globally.

Earlier this year, Ceres said its revenue for the quarter ended 30 November, 2015, increased by 140% to $942,000, compared to $400,000 the same period last year, owing to a strengthened balance sheet and a strategy to focus on commercialising its forage products.

The company also reported that it narrowed its net loss from $5.9m for the quarter ended 30 November, 2014, to $3.4m for the quarter ended 30 November, 2015.