Resveratrol

Resveratrol is a natural compound produced in grapes and other plants as a response against environmental stress factors. It occurs in red wine, but at low concentrations. Scientific research has shown it to have many protective benefits against several health conditions related to aging. It is often mentioned as an explanation of the “French Paradox”. The “French Paradox” refers to the observation that mortality from coronary heart disease is relatively low in France despite relatively high levels of dietary saturated fat and cigarette smoking, leading to the idea that regular consumption of red wine might provide additional protection from cardiovascular disease.

Evolva’s resveratrol is produced by fermentation in yeast. Compared to plant extracts, this production route has the advantage that there is no risk of contamination with pesticides or heavy metals. It is also possible to create a high purity product.

Further reading:

• Website of Oregon State University
• David Sinclair, Harvard Medical School’s interview published by Science Friday

Market opportunity

According to a 2012 Frost & Sullivan report, sales of resveratrol at an ingredient level (for all applications) were c. USD 50 million in 2011, with double digit growth rates expected. Some 90% of sales are generated in the USA. The fastest-growing region is Asia-Pacific. Low purity Japanese Knotweed extracts, primarily from China, dominate the market. One company markets a synthetic product.

Status and Plans

Evolva acquired the resveratrol product from Danish company Fluxome in November 2012. Fluxome’s product has been on market since 2009. It is US GRAS-affirmed and European Novel Foods approved. Due to high production costs and selling price, uptake was slower than anticipated, ultimately bringing Fluxome in a distressed financial position. Evolva expects to leverage its own technologies to reduce manufacturing costs and further enhance the competitive advantages of Fluxome’s resveratrol. Evolva does not intend to build a sales and marketing organisation but will focus on working with distributors and major consumer goods companies to drive sales of the product.