SCN, which was founded just last year, has two strings to its business model. The first is built around the Karolinska research and development agreement, and involves the development of new nutraceutical substances and top-line research on existing substances. The second is distribution and marketing of branded ingredients and supplements.
While such partnerships are more common in pharmaceutical world, they are rare in the nutraceutical arena. However as the industry accepts the importance of science in building credibility, they could be a key to greater acceptance of nutraceutical products as alternatives to pharmaceuticals.
Business strategy manager Anders Struksnes told NutraIngredients.com that the Karolinska already has similar agreements with pharmaceutical companies.
"We want to follow the same route as pharmaceutical companies. It is a fantastic opportunity with a credible institute to show that nutraceuticals have something to offer consumers," he said.
SCN is aiming to build international relationships with companies with products that can be researched more thoroughly through the Karolinska agreement.
"In the 1990s there was too much speculation in the industry. There has been a gradual change towards more responsibility. We want to be part of changing the picture, and gaining credibility," said Struksnes.
Throughout the 10-year agreement SNC will invest a minimum of SK60m (c €6.6m) in research at - although Striksnes said that the eventual figure is likely to be higher as the company partners with other ingredients companies for joint research and marketing of products.
The first two projects with the Karolinska Institutet are about to get underway - one on SNC's weight management CUUR, and the other comparing the benefits of milk protein-derived Microlactin to those of glucosamine for osteoarthritis. Two or three more are expected to commence later in the year.