Algatechnologies (Algatech), announced it will expand its production capacity of AstaPure brand natural astaxanthin by more than 100 percent. This follows an investment of $20 million in its facility in the Arava Desert, Israel.
The expansion is part of a transformation by Algatech's new owners, Grovepoint, a U.K. investment group that acquired control for Algatech in 2013. Grovepoint's aim is to develop and capitalize on the potential business in natural astaxanthin and related products.
“The expansion will be executed in phases, with a substantial part to be completed in 2014," said Hagai Stadler, CEO of Algatech. “Part of the new plant is dedicated specifically for production of new microalgae products, based on our expertise and capabilities in the microalgae cultivation process. Innovative technologies will be merged into the current process to increase the facility yield and to reduce costs."
Algatech is a member of NAXA (the Natural Algae Astaxanthin Association), a trade organization dedicated to educating the public and natural products industry about the benefits of astaxanthin and the differences between sources. Algatech's AstaPure is sold mainly in North America, Europe and Asia as an active ingredients in dietary supplements, cosmetics and functional foods and beverages.