Willow Biosciences announces new funded biopesticides R&D partnership after successfully completing feasibility study

Date:08-08-2024

Willow Biosciences Inc. ("Willow" or the "Company") (TSX: WLLW) (OTCQB: CANSF), a leading biotechnology company focused on revolutionizing industrial manufacturing of pure, consistent, and sustainable ingredients, announces that it has signed a fully funded strain engineering program (the "Program") with an innovative Ag-Biotech company in the biopesticides sector.

"This is truly an exciting partnership for Willow, as it not only comes with significant near-term research and development and future commercial milestone payments, but also extends our technology and capabilities into the high growth biopesticide sector," said Dr. Chris Savile, Willow's President & CEO. "I am once again impressed with our team and technology platform for quickly demonstrating proof-of-concept and progressing to a full development partnership," continued Dr. Savile.

On June 26, 2024, the Company announced a feasibility program with an innovative Ag-Biotech company in the biopesticides sector. Today, the Company announced that after successfully completing the feasibility phase, it has now signed a funded research and development agreement (the "Agreement"). The Program is expected to take at least 12 months to complete, with guaranteed research and development revenue for Willow of $1.25 million within the first 6 months and an additional $1 million in research and development revenue in the following six months, with an option to extend, should both parties decide to continue. If successful, upon completion of the Program, the Company will receive significant commercial milestone payments, which are tiered based on the performance of the new strain. The research and development required to complete the Program will be completed using existing facilities, equipment and employees and will require minimal additional costs and resources.

Biochemical pesticides are naturally occurring substances that control pests through non-toxic, targeted mechanisms resulting in enhanced crop productions. According to Fortune Business Insights (fortunebusinessinsights.com, July 22, 2024), the global biopesticides market size is estimated to be $US 8.7 billion in 2024 with a compound annual growth rate of 15.9%. Biopesticides are typically safer and more environmentally friendly than conventional pesticides but can be challenging to produce at large scale.