Amyris

Amyris Biotechnologies was founded in 2003 in Emeryville, California, spun out of chemical engineer Jay Keasling's lab at UC Berkeley by Keasling, Jack Newman, Kinkead Reiling and Neil Renninger. Its founding project was a landmark of the young synthetic-biology field: engineering yeast to ferment sugar into artemisinic acid, a precursor to the frontline antimalarial artemisinin, funded by a roughly $42.6 million Bill & Melinda Gates Foundation grant awarded in 2004. The work paid off — Amyris licensed the technology royalty-free to Sanofi, which in 2013 launched large-scale semisynthetic artemisinin production in Italy on a no-profit, no-loss basis. It was proof that engineered microbes could make a real, socially important molecule at scale, and it made Amyris the flagbearer for what synthetic biology could do.

Amyris went public on Nasdaq under the ticker AMRS in September 2010, pricing at $16 a share to raise about $85 million on the promise of renewable fuels made from its fermentation platform. But biofuels never penciled out, and the 2014 collapse in oil prices made low-margin renewable farnesene uneconomic. Under CEO John Melo, who took over in 2007, Amyris pivoted to high-value specialty ingredients — most notably sustainable squalane, a cosmetics emollient that replaced shark-liver-derived squalene and became the company's flagship high-margin product. The platform could industrialize a molecule; the open question, never resolved, was whether Amyris could build a business around it that actually made money.

Rather than sell ingredients wholesale, Melo's Amyris moved downstream into owning consumer brands, reasoning it could capture retail margins on products made from its own molecules. From 2016 it built and acquired a sprawling portfolio: the clean-beauty line Biossance, baby-care brand Pipette, and a run of celebrity labels including JVN with Jonathan Van Ness, Rose Inc. with Rosie Huntington-Whiteley, Stripes with Naomi Watts, plus Costa Brazil, 4U by Tia, MenoLabs and more. Marketing and building this many direct-to-consumer brands consumed enormous cash, and the beauty business never generated the returns to justify it. The strategy turned a science company into a cash-hungry consumer conglomerate financed by a rising tower of debt.

Beneath the growth story, the accounting was fragile. Amyris restated royalty revenue tied to 2018 licensing deals, disclosed material weaknesses in its internal controls, and in October 2021 settled SEC charges over improper revenue recognition with a cease-and-desist and a $300,000 penalty, without admitting wrongdoing; an audit-committee probe into supply-chain irregularities followed. A decade-plus of losses had been financed by repeated dilutive equity and convertible notes, and increasingly by insider capital: Foris Ventures, the vehicle of Kleiner Perkins legend L. John Doerr, and affiliates anchored recapitalizations and came to hold hundreds of millions in secured loans. The company was running on the backstop of a single powerful investor.

The end came in the summer of 2023. CEO John Melo resigned on June 26, 2023 as Amyris announced a global workforce reduction, and on August 9, 2023 the company filed for Chapter 11 in the U.S. Bankruptcy Court for the District of Delaware, carrying roughly $1.15 billion in funded debt against a business that had never turned a sustained profit. Some 260 workers were laid off at filing, and a $190 million debtor-in-possession facility came from a Foris affiliate. The celebrity brands were auctioned off for a combined ~$29.6 million — Biossance to THG Beauty for $20 million, the rest for a fraction of what had been spent building them. Amyris emerged in May 2024 as a stripped-down, B2B-only ingredients company having shed about $1 billion of debt, with 100% of the reorganized equity handed to Foris's secured lenders; the common stock was delisted in October 2023 and public shareholders were wiped out. The company that had brewed a malaria drug in yeast survived — but only after destroying two decades of investor capital chasing a consumer business it could never afford.