feb9.09.drathsquickpresetation
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THE LAUNCH OF DRATHS CORPORATION: A GREEN TECH ADVENTURE!
Dr. John Frost and Dr. Karen Draths are a couple of brilliant Scientists thathave worked for well over a decade on advancing their research in Renewable Energy. They were working side by side advancing their technology at Michigan State in 2005. University.
Dr. John Frost, Co-Founder and CSO John Frost is Chief Science Officer and heads the Scientific Advisory Board of Draths Corporation. Currently on leave from his position of University Distinguished Professor at Michigan State University, Dr. Frost is internationally recognized for his research in the field of green chemistry. By combining microbial catalysis with organic chemistry, Dr. Frost has created novel routes whereby nontoxic glucose replaces benzene as a starting material in chemical manufacture. Dr. Frost received his BS in Chemistry from Purdue University, his PhD from the Massachusetts Institute of Technology, and was a postdoctoral fellow at Harvard University. Dr. Frost has more than 15 issued and pending patents along with over 90 publications to his name. He has also served as the major advisor on 35 PhD and MS dissertations.
Karen Draths, Co-Founder and Senior Principal Scientist Dr. Draths oversees exploratory research at Draths’ Okemos research facility. Most recently, Dr. Draths held the position of Assistant Professor in the Department of Chemistry at Michigan State University. Along with John Frost, she received the Presidential Green Chemistry Challenge Award in 1998 for their innovative synthesis of adipic acid from renewable resources. Dr. Draths earned her BS in Chemistry at Saint Mary’s College and her PhD from Stanford University. Dr. Draths has more than 30 publications and 10 patents related to biocatalytic synthesis and its applications.
Dr. Frost and Dr. Drath wanted to take their technology to the next levelAnd get to participate to help in the evolution and value their work could bring to world. They decided to become entrepreneurs and in 2005 they began working to launchtheir new company- Draths Corporation
FROM SCIENTISTS TO ENTREPRENEURS
Dr. John Frost and Dr. Karen Drath were pioneers in green technology, with scores of highly regarded research published, patents, and prestigious awards racking up Since the early 90’s. THEY STILL NEEDED SOMEONE TO BELIEVE AND BET ON THEM AS ENTREPRENEURS!
How Did they make the jump from Scientists working at Michigan State to full fledged Entrepreneurs?Where did they get the money they needed to start the company?Where did they get guidance and support along the way?Who had a vested interest to spend time helping them negotiate & brave challenges?
IN LATE 2005 - THEY FOUND AN ANGEL INVESTOR!
THIS IS THE ORIGINALARTICLE THAT GOTMY ATTENTION IN2005! WOW! GET TODEPLOY $1 MILLION TOHELP SAVE THE WORLD?
SIGN ME UP! WE REACHEDA DEAL WITHIN 18 DAYS!
2005
DRATHS CORP - FIRST PRESS RELEASE – APRIL 2006“Brad Greenspan, entrepreneur, and investor today announced a $1 millionInvestment which has seed funded and launched the Draths Corporation
2008 /January –Draths Announces $5,000,000 investment from Khosla Ventures.
April 9, 2008
KEY PATENTISSUED TO DRATHSFOR ITS GREEN TECHNOLOGY ROUTETO CREATING NYLON-6
AUGUST 11, 2008
DRATHS BEGINSFOCUS ON EXPLOITINGOPPORTUNITY AND HAS ENTERED DISCUSSIONS WITH AT LEAST ONE MAJOR CARPET MANUFACTURER
Nylon 6 Market Size: $10 Billion
Nylon 6 Market (ktonnes)
Environmental Footprint of Nylon
Fossil Energy Consumed (MJ/kg)
GHG Emitted (kg CO2 eq./kg)
Water Consumed (kg/kg)
REDUCING POLLUTION OR DAMAGE TO ENVIRONMENT! ITS WHAT ITS ALL ABOUT! Draths technology to produce caprolactam reduces GHG emissions by 52%
GHG reductions translate to 8¢ per pound advantage
Kg C
O2
equi
vale
nt p
er k
g of
cap
rola
ctam
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February 6, 2009 - Draths Raises $16.7 Million of Growth Capital from Leading Energy and Clean Tech Investors: Texas Pacific Group (TPG) / Khosla Ventures (KV) / CMEA Ventures
New Financing completed at400% Higher Value for ShareholdersF/ 2006 Initial $1 million Investment (Series A holder Brad Greenspan)
$16.7 Million
By February 2009, with Brads initial financing and continued strategic support they had accomplished many of their goals
including:
DRATHS NOW CONSISTED OF:
Commercial, product and process development in Minneapolis & Discovery stage and validation labs in Okemos, Michigan
Current staff 29 FTEs, 50% PhDs
Core capabilities: synthetic biology. synthetic organic chemistry, processing. materials science
• 23 issued and pending patents ( 9 patents from MSU License)
• aggressively building portfolio- 10 new patents- filed by mid2009
• landmark patent US 7,399,855 “Synthesis of Caprolactam from Lysine”
Huge markets ready for change− Multiple $10B+ markets with pressing need
for sustainability− No competitors: only route to 100%
renewable nylon16
Okemos
Minneapolis
Launched Michigan based Draths Corp in early 2006 , focused on replacing petroleum with renewable resources including sugars and starches, initially Draths secured the licensing rights to 10 US patents, including one to makeshikimic acid, the key building block for the synthesis of Tamiflu and other potential anti-influenza drugs.
Closing in February 2009, on a third round of financing, a $16.7 million dollar financing from Leading renewable energy investors:
Khosla Ventures, Texas Pacific Group (TPG), CMEA Ventures
$1,000,000 = $4,020,000