Vestaron Corporation, a manufacturer of biopesticides based on new modes of action, recently announced the completion of a new round of financing totaling $18 million. The round was completely funded by existing investors in the company.
The new funds will help Vestaron introduce its first product, Spear-T bioinsecticide, before the first quarter selling season next year. Spear, according to the company, is believed to be the first biological insecticide that performs with efficacy comparable to that of synthetic insecticides, but with the benign effects of a biological insecticide. Two additional products utilizing the same active ingredient are slated for introduction later in 2017.
“We’re proud of our progress in making Spear a commercial reality, and this funding should get Vestaron to positive net cash flow,” says Dr. John Sorenson, President and CEO of Vestaron. “We intend to use this additional investment to expand our research and development of new bioinsecticides, new synthetic molecules derived from them, and new plant-incorporated insecticides. We are continually surprised at the expanding number of significant market problems that can be addressed by our product platforms.”
“Vestaron’s recent traction with growers, academics, and major agrichemical companies has driven an intense level of investor enthusiasm,” says Keith Gillard, General Partner of Pangaea Ventures and Chairman of Vestaron. “We had multiple competing term sheets, which resulted in a very strong insider-only round. We expect extraordinary things from Vestaron, and they are delivering!”
Vestaron Corporation exploits the natural insecticidal properties of a class of peptides that have potent insect-killing potential, but which are safe to humans, birds, fish, and the environment. These peptides utilize new modes of action that have never been used for insect control, and therefore do not suffer from insect resistance. In addition to the bioinsecticides, the company is also leveraging its peptide technology with the development of traits and synthetics that also have a favorable safety spectrum.