By Jon Gaskell
Holt Journal staff writer
Draths Corp. is being sold to California based chemical company, Amyris. According to a November, 1 SEC filing, Amyris is in the process of buying the Delhi Township company for $7 million.
On October, 18, Draths announced the sale of the company and plans to both lay off 38 of 40 employees and close down its 30,000 -quare-foot Delhi facility.
Draths was founded in Okemos in 2005 by former MSU professors John Frost and Karen Draths. The company uses patented micro-organisms to turn plant material into plastics.
Since its 2005 founding, the company moved to Plymouth, Minn. and was lured to Delhi Township in 2010 with $5.2 million in state tax credits.
The facility at 4055 English Oak Drive also received significant tax abatements from Delhi Township under the Industrial Facilities Tax Exemption (IFT). The IFT abatements would have totaled an estimated $1,143,671 over ten years.
Neither Amyris nor Draths had any comment on the sale.