HEERLEN, THE NETHERLANDS — Royal DSM has agreed to acquire the C5 Yeast Co. B.V. in Bergen op Zoom, The Netherlands, from Royal Cosun. DSM plans to combine the C5 Yeast Co.’s business with its own yeast and enzyme technologies for second-generation biofuels.

C5 Yeast Co. was part of former Royal Nedalco, Cosun’s alcohol business group that was acquired by Cargill earlier this year.

“This acquisition represents a key strategic step as we further strengthen our existing yeast platform and portfolio of bio-conversion technologies and biomaterials,” said Rob van Leen, chief innovation officer at Heerlen-based DSM. “We further increase our leadership position in the field of fermentation technology for mixed sugars derived from agricultural residues and non-edible crops.

“With our bright science and strong technology position we are bringing second-generation biofuels closer to mass-scale production, reducing society’s dependence on fossil feed stocks and avoiding the food-versus-fuel dilemma.”

DSM already offers both enzyme and yeast fermentation technologies to increase conversion rates and make the technology commercially viable.