Intrexon To Buy Canadian Agriculture Biotechnology Company

(RTTNews) - Intrexon Corp (XON), a company focused on synthetic biology, on Friday said it agreed to buy Canada-based Okanagan Specialty Fruits.

Intrexon said that pursuant to the definitive agreement, Okanagan's stockholders will receive $31 million in Intrexon common stock and $10 million in upfront cash.

The deal is expected to close in the first half of this year.

Okanagan, an agriculture biotechnology company based in British Columbia, specializes in developing tree fruit varieties with novel attributes that benefit fruit producers and consumers. The company is behing the Arctic apple, the world's first non-browning apple.

Intrexon said the deal helps expand its food programs to include trees yielding fruits that are more appetizing and convenient for consumers while providing economic benefit.

For example, the Arctic apple provides consumers with an answer to a pesky but common food issue without any flavor-altering, anti-browning additives. Also apples will be more accessible to food service outlets, where consumers spend roughly 50 percent of their food expenses, because Arctic apples solve both cost per serving and quality concerns associated with pre-cut apples.