Mycogen Corp. said it agreed to form a Japanese subsidiarywith Kubota Corp. of Tokyo to commercialize bioinsecticideproducts in Far East Asia.
Under terms of the agreement, Kubota will form the subsidiaryand take 60 percent ownership. Kubota will provide Mycogen(NASDAQ:MYCO) with an unspecified one-time licensing fee andadditional research and development funding. Mycogendeclined to disclose other terms.
The San Diego-based company also said that the SpanishMinistry of Agriculture, Fisheries and Food gave marketingapproval to its MVP bioinsecticide. Mycogen said it workedwith Royal Dutch/Shell Operating Co., Shell Espana to registerthe product.
MVP contains a naturally occurring and selective Bacillusthuringiensis (Bt) toxin that kills selected insects, but is nottoxic to humans or other mammals. Mycogen recently startedselling the product in the U.S. market, which it estimates at$120 million a year.
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