Under the terms of the equipment agreement, EnWave is committed to supplying two commercial powderREV machines for the production of several dehydrated enzymes used in a number of food-related applications.
In addition, the licensing agreement provides the licensee with an option to license powderREV for the production of an additional enzyme protein category to support other business development opportunities being developed by its global affiliates.
The first machine is expected to be delivered to the licensee’s facility in September 2013, followed by the second machine in the summer of 2014.
EnWave will pay for the capital cost of the equipment and receive a royalty payment for each kilogram of enzyme dehydrated in the process, with a targeted annual return of between 30% and 50% on capital invested, subject to overall capacity utilisation.
After the initial installation, there will be a start-up approval process to confirm acceptance by the licensee’s end customers prior to beginning large-scale commercial production.
Source: EnWave Corporation
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