Eden Research bounces on first commercial order for Mevalone

Eden Research has received its first order for its Mevalone grape crop treatment from partner K&N Efthymiadis that will generate first revenue from the agreement.

K&N Efthymiadis, which is an arm of Greek agribusiness group Redestos, has placed placed its first order for Mevalone for the prevention and cure of botrytis on table and wine grapes in Greece, with plans to expand this quickly for a wider range of crops.

The companies said this was an important step in the commercialisation of one of the first terpene-based products in the agricultural market.

Mevalone is the trade name used in several countries for AIM-listed Eden's fungicidal agrochemical product, 3AEY, and this order follows the national approval for commercial sale in Greece received in August 2015.

Eden, which specialises in 'microencapsulation' technologies for the global agrochemicals, animal health and consumer products industries, will supply KNE with Mevalone, with Eden then generating revenue from product sales made by the Greek company and royalties based on net sales from this first order.

Chief executive Sean Smith, said 2016 is expected to be a year of tremendous progress for Eden and its partners commercial sales begin.

"Our licensees and distributors are now able to realise the initial potential of Eden's product pipeline, and with further label extensions and partnerships to come, we are pleased with the prospects for the future.

"KNE are now executing a comprehensive commercialisation plan across their territories, and we look forward to working with them to support their ambitions. Furthermore, we are also actively collaborating to expand commercialisation activities beyond Mevalone thereby building future growth into our relationship."

Having sunk to nine-month lows with no explanation on Tuesday, shares in Eden bounced 24% higher at 10.42p by mid afternoon on Wednesday, around the level they were last May.