Breakthrough for Plantark: A cotton plant protection garden has received regulatory approval in the US

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A breakthrough for Plantark from Moshav Givat Hen near Raanana, which was the first company to be listed on the stock exchange in 2021, and is currently marking its first year as a public company.

Read more in Calcalist:

A garden found by the company confers resistance to herbicides in soybean and cotton crops, and the company obtained a permit from the US Department of Agriculture (USDA). The permit allows the company to make commercial use of the garden and market it for combination with soybean and cotton seeds in the US. This means that the company will be able to work with the large seed companies to combine the garden with soy and cotton varieties, and in the future will be entitled to enjoy royalties of millions of dollars.

Weeds are considered the main pest for agricultural crops. They may cut the crop in half if not treated with herbicides. The use of herbicides (HPPD) relevant to the gene in question has been on the rise in recent years. So far mainly in corn and rice crops that are naturally resistant to this type.

At the same time, there was a decline in the agricultural industry with traditional herbicides such as roundup, due to herb resistance that developed over the years. In various cases, courts around the world have also ruled that the same herbicides can cause cancer. Achieving resistance to HPPD herbicides by incorporating the company’s garden into soybeans and cotton seeds, which are not naturally resistant to them, will allow farmers to have greater crop yields using herbicides from this family.

The Planetark share jumps 22% with a turnover of NIS 1.2 million. The company’s current market value is only NIS 36 million. In the last 90 days, the average daily turnover was only NIS 20,000. Since the beginning of the week, the stock has already jumped 44%, but it is still losing relative to the issue by 36%. The company was issued on January 4, 2021 as part of a wave of issues by technology companies on the Tel Aviv Stock Exchange.

“This is a huge achievement for us,” said Dror Shlitin, CEO of Plantark, in a conversation with Calcalist. “In fact, it is our greatest achievement to date. The gene we found with the help of our technology, can be integrated from this moment on by the seed companies. They can take it and thus get protection for cotton plants in the US.

According to Shalitin, “The big seed companies are already competing for this trait today. Both Biogen and Syngenta have solutions and this is a gene that is competitive with the genes they found. And yet, there are many cotton companies that do not have this trait in their plants. Our goal right now is to reach To agree with a global seed company to integrate the gene. “

Since the beginning of the week, Planetark’s share has already jumped by 44%, but it is still losing compared to the issue from a year ago by 36%

When will the company see revenue from this garden?

“There are several stages in the sale of the garden. In the first stage we want to get a license, so there may be a first payment. Usually then there is a reward for meeting milestones, and at the end we receive reward payments (royalties). But it can take several years until royalties. Through this garden, we have cut between 4 and 5 years of development for companies. “

What else is in your barrel?

“The USDA approval is very unique to this gene. We have additional genes in development that do not necessarily require this approval. For example, last November we showed good results in experimenting with soybean gardens that give them drought resistance. We are currently in talks with large companies to try to commercialize them. This is a normal, non-regulatory process. “

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