Cropenergies acquires stake in biotech start-up LXP

The start-up has developed a patented process to produce biofuels from residual and waste materials. Now Cropenergies is getting on board.

Cropenergies has secured almost 20 percent of the Brandenburg start-up LXP. This has cost the company around two million euros. The investment is intended to be a further step in the realignment of the Mannheim-based energy company. "The investment in LXP with a patented, state-of-the-art process opens up further opportunities for Cropenergies to expand the raw material base for the production of second-generation biofuels," says Stephan Meeder, CEO of Cropenergies. The company now wants to increasingly specialize in producing ethanol from residual materials.

Founded in 2012, the start-up LXP aims to produce biofuels and bio-based chemicals from prunings, sawdust and straw. The process would also produce lignin, which can be used to manufacture products such as 3D printer ink, carbon fibers or phenolic resins. LXP plans to build a pilot plant in the near future to start producing cellulose and lignin. "The strategic reinforcement by Cropenergies will enable us to expand our technology much faster," says Volker Bauer, Managing Director of LXP Group GmbH.