Danisco Enzyme Found to Infringe on Novozymes Patent

25/08/06 Danisco's Genencor division said that it is withdrawing an ethanol-producing enzyme from the market after a federal judge ruled that it infringes on a patent held by Novozymes A/S of Denmark. The enzyme, Spezyme Ethyl, is used in the making of fuel ethanol from complex starches.

Following a patent infringement ruling in a Delaware US court Genencor said It decided voluntarily to withdraw SPEZYME ETHYL from the market. The legal options are currently being reviewed and an appeal of the ruling is being considered. Should the ruling be upheld it may result in Genencor being liable for compensation for the patent infringement.

Judge Kent Jordan of the U.S. District Court in Delaware said Novozymes' patent is valid and damages are to be determined at a trial slated for October. Enzyme Development Corp., the New York-based distributor of Spezyme Ethyl, was also found to have infringed Novozymes' patent.

Yesterday Genencor launched a new product SPEZYME XTRA to replace SPEZYME ETHYL. The product has been successfully tested on both pilot and full scale at multiple customer sites.

Danisco said that overall this court ruling will not materially affect Its enzyme business including the ethanol segment. The product withdrawn is just one of a full product range for the ethanol segment, which covers both the traditional ethanol production process and the 'no-cook' process, for which Genencor launched the STARGEN 001 product in 2005.