Arcadia Biosciences, Inc. (NASDAQ: RKDA) is engaged within the development and marketing of high-value food ingredients and oils aimed at helping consumers eat healthier. Shares of the food ingredients company skyrocketed 124.38%, during trading on Friday, August 9, 2019. Over the past three months, Arcadia Biosciences has seen average daily volume of 132,850 shares. However, volume of 56.04 million shares or dollar volume of $252.74 million, exchanged hands during trading on Friday.
Shares of Arcadia Biosciences surged on Friday, after the company announced that its joint venture with Bioceres Crop Solutions Corp. (NYSE: BIOX), Verdeca, has received regulatory approval from the U.S. Department of Agriculture (USDA) for its HB4 drought-tolerant soybeans. The decision opens the door to commercialization across the U.S. market. The FDA had previously approved the HB4 trait back in 2017. Here is the full press release detailing of the USDA approval:
Arcadia Biosciences, Inc. Press Release:
DAVIS, Calif. and ROSARIO, Argentina, Aug. 8, 2019 /PRNewswire/ — Verdeca, a joint venture between Arcadia Biosciences, Inc. (RKDA) and Bioceres Crop Solutions Corp. (NYSE American: BIOX), announced today it has successfully completed the regulatory review process and received approval from the U.S. Department of Agriculture (USDA) for its HB4® drought tolerant soybeans, which will allow for commercialization in the U.S. market. The approval comes two years after the U.S. Food and Drug Administration’s (FDA’s) approval of Verdeca’s HB4 trait in 2017.
The HB4 stack is Verdeca’s newest product release from its pipeline of traits developed to benefit soybean producers through quality improvement, stress mitigation and management practices.
“HB4 is a novel soybean trait that enhances the traditional herbicide tolerance package to provide yield stability across diverse environments,” said Martin Mariani Ventura, general manager of Verdeca. “Approval of this technology in the United States is a significant step for the successful commercialization of HB4 technology in the global soybean market.”
With USDA approval, the HB4 trait now has regulatory approval in more than 80 percent of the global soybean market. The HB4 trait has already been approved in Argentina and Brazil, with regulatory submissions currently under consideration by China, Paraguay, Bolivia and Uruguay. Import approval from China is needed for commercial launch in Argentina, and is now expected in 2020.
More than 30 million of the world’s soybean hectares are grown in the United States. While the 2019 growing season has challenged many U.S. soybean growers with too much water, key soybean production areas – including some areas within the United States – just last year suffered reduced yields due to water and heat stress.
“Trials in Argentina have shown a positive impact of the HB4 trait stack on soybeans there,” said Raj Ketkar, president and CEO of Arcadia Biosciences. “The USDA and FDA approvals are important steps in our continued drive to commercialize this trait in key markets.”
“This approval in the U.S. is an important step for Verdeca. The HB4 trait was recently approved by Brazil as well, and we now expect approval in China in 2020 to launch our commercial efforts in Argentina,” said Federico Trucco, CEO of Bioceres Crop Solutions.
Arcadia Biosciences and Bioceres Crop Solutions formed Verdeca in 2012 to deploy next-generation soybean traits in all key production regions, beginning in South America and North America, which together represent nearly 80 percent of the harvested soybean hectares globally.
About Arcadia Biosciences, Inc.
Arcadia Biosciences (RKDA) develops and markets high-value food ingredients and nutritional oils that help meet consumer demand for a healthier diet. Arcadia’sGoodWheat™ branded ingredients deliver health benefits to consumers and enable consumer packaged goods companies to differentiate their brands in the marketplace. The company’s portfolio of agricultural traits are being developed to enable farmers around the world to be more productive and minimize the impact of agriculture on the environment. Arcadia Specialty Genomics is a business unit within Arcadia Biosciences dedicated to the optimization and standardization of cannabis plant content, quality, resiliency and yield. For more information, visit www.arcadiabio.com/.
About Bioceres Crop Solutions
Bioceres Crop Solutions Corp. (NYSE American: BIOX) is a fully-integrated provider of crop productivity solutions, including seeds, seed traits, seed treatments, biologicals, high-value adjuvants and fertilizers. We have developed a multi-discipline and multi-product platform capable of providing solutions throughout the entire crop cycle, from pre-planting to transportation and storage. Our platform is designed to cost-effectively bring high-value technologies to market through an open-architecture approach. For more information visit https://biocerescrops.com/.
Verdeca, a U.S.-based joint venture between Bioceres and Arcadia Biosciences, develops and deregulates soybean varieties with next-generation agricultural technologies. Working in partnership with South American growers, Verdeca aims to provide technologies that help increase crop productivity, making more efficient and sustainable use of land and water resources. For more information visit www.verdeca.com.
Note Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, and reported results should not be considered as an indication of future performance. These risks and uncertainties include, but are not limited to: Arcadia’s and its partners’ and affiliates’ ability to develop commercial products incorporating their traits, and complete the regulatory review process for such products; Arcadia’s compliance with laws and regulations that impact Arcadia’s business, and changes to such laws and regulations; Arcadia’s future capital requirements and ability to satisfy its capital needs; and the other risks set forth in Arcadia’s filings with the Securities and Exchange Commission from time to time, including the risks set forth in Arcadia’s Annual Report on Form 10-K for the year ended December 31, 2018 and other filings. These forward-looking statements speak only as of the date hereof, and Arcadia Biosciences, Inc. disclaims any obligation to update these forward-looking statements.