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Kaneka signs exclusive distribution deal for AB-Biotics ingredients in North America, Japan

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Tokyo-headquartered Kaneka Corporation acquired a 34.8% share of Barcelona-based biotech company AB-Biotics. It also signed on as exclusive distributor for the latter’s ingredients in the US, Canadian, and Japanese markets.

AB-Biotics is a specialist in lactic acid probiotics, ingredients often used in dairy products, functional food and beverages, and dietary supplements. It boasts 550 original probiotic strains.

The acquisition of shares is part of Kaneka’s goal of reaching JP¥10 billion (around US$90 million) by 2022.

“Lactic acid bacteria have been drawing people's attention for their effect and efficacy not only to intestinal function and immune system, but also to allergic symptoms and infectious diseases,” according to the company. “The interest and business of dairy products such as yoghurt, functional foods and dietary supplements containing lactic acid bacteria is also rapidly increasing.”

“Kaneka will apply our expertise in fermentation and sales of specialty nutrients to the newly formed Probiotic Division to provide unique, innovative solutions in the probiotics market. We look forward to collaborating with customers to help them create products that will differentiate their probiotics with our clinical strains,” said Kazuhiko Fujii, President of Kaneka Americas Holding,

Kaneka has been expanding its functional food business globally such as the active, antioxidant form of Coenzyme Q10 (Kaneka QH), polyphenol derived from licorice (Kaneka Glavonoid) and plant-derived lactic acid bacillus, fully supported by the evidence data regarding its safety and beneficial effects to humans.

Kaneka has also started a dairy products business, such as milk, butter and yoghurt in Japan under technical cooperation with Pur Natur Invest BVBA.