Functional Technologies Corp.
TSX VENTURE : FEB

Functional Technologies Corp.

February 28, 2011 12:00 ET

Functional Technologies Recognized by Government of Canada as an R&D Commercialization Success

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 28, 2011) - Functional Technologies Corp. (TSX VENTURE:FEB) (the "Company") is pleased to announce that its subsidiary, Phyterra Yeast Inc., is one of six companies across Canada being recognized today by the Government of Canada as businesses whose investments in R&D initiatives have been supported by federal funding, and which have subsequently evolved successfully into commercial entities.

This recognition comes as part of the Canadian government's review of the positive results from its Science and Technology Strategy. It is also reflective of the partnership Functional Technologies has built with federal and provincial governments, allowing the Company to maintain strong R&D initiatives and retain scientific talent in PEI while building a reputation for licensing and commercializing novel technologies that attract the interest of multinational companies.

The Company's funding sources have included the National Research Council's (NRC) Industrial Research Assistance Program (NRC–IRAP), its Nutrisciences and Health Cluster in Charlottetown, and the Atlantic Canada Opportunities Agency (ACOA). This funding support has enhanced Functional Technologies' ability to commercialize its proprietary technologies in a non-dilutive manner, and helps validate the importance of the Company's innovations in established international markets.

Functional Technologies is developing and commercializing advanced biological technologies to reduce naturally occurring toxins and contaminants that either affect final product quality or are classified by the World Health Organization (WHO) as probable human carcinogens. The Company's lead technologies include yeasts that prevent and reduce the formation of acrylamide, hydrogen sulphide (H2S) and ethyl carbamate, naturally occurring by-products of food and beverage processing. These contaminants are found in many commonly consumed items, such as fermented products and alcoholic beverages, and baked and fried foods.

The Honourable Gail Shea, Minister of Fisheries and Oceans, was on hand today at Functional Technologies' subsidiary, Phyterra Yeast Inc. in Charlottetown, PEI, to celebrate the company's success. "Our government is pleased to support Canadian companies that invest in research and development to bring new ideas to the marketplace, creating new jobs and strengthening our economy," said Minister Shea. "Phyterra Yeast is a Canadian success story and an example of how businesses can succeed when they invest in research and commercialize new discoveries."

"We believe our relationship is an excellent example of a highly productive collaboration between industry and federal government resources," says Garth Greenham, President and COO of Functional Technologies. "The research and development we pursued here by accessing the world class equipment and expertise at the NRC in Charlottetown helped us successfully commercialize our product. And, we are now achieving sales in international markets."

About Functional Technologies Corp.

Functional Technologies develops and commercializes proprietary technologies that enhance the natural properties of yeast and algae — nature's microscopic workhorses. Our scientists apply novel techniques to these micro-celled organisms to resolve significant health and quality problems, and generate new opportunities in the global food, beverage and healthcare industries. Our first commercial products are the Phyterra™ line of proprietary yeast strains, designed to reduce the formation of foul-smelling hydrogen sulphide and the carcinogen urethane in wines and other fermented products. With a head office in Vancouver, Functional Technologies Corp. has R&D facilities in Prince Edward Island and a U.S. sales office in Napa Valley, California. For more information, please visit www.functionaltechcorp.com.

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Contact Information

  • Functional Technologies Corp.
    Connie Chen, PhD
    VP, Corporate Development and Communications
    +1.647.282.5038
    www.functionaltechcorp.com