BioVittoria seeks more capital

Hamilton-based biotech entrepreneur BioVittoria is considering whether to sell shares in New Zealand to raise the $20 million it needs to commercialise a sweetener extracted from a Chinese fruit crop.

The non-caloric fruit concentrate sweetener called PureLo is made from Chinese-grown luo han fruit and the company expects to process 3000 tonnes of fruit from Miao and Yao hill tribe growers in mountainous areas of Guangxi province, southern China.

The resulting white powder is the first naturally-occurring sweetener to be approved by the US Food and Drug Administration.

It is 200 times sweeter than cane sugar and sells for about $450/kg, mostly to beverage, food and confectionary manufacturers.

BioVittoria chief executive David Thorrold said raising capital in NZ was one of the options available, and that could be done through an initial public offering on the sharemarket, or privately.

Wellington brokerage McDouall Stuart is expected to report next month on the proposed capital-raising next month.