MustGrow Receiving Funding from Agriculture and Agri-Food Canada for Human and Animal Health Applications

Rhea-AI Summary

MustGrow Biologics Corp. (TSXV: MGRO) (OTCQB: MGROF) has secured funding from Agriculture and Agri-Food Canada (AAFC) to explore mustard-derived ingredient opportunities in human and animal health applications. The project, conducted at AAFC's Guelph Research & Development Centre, will investigate potential uses in:

• Functional foods and nutraceuticals for improved immunity and gut health
• Natural food preservatives
• Antibiotic replacements in animal feeds

The research aims to analyze bioactive components in mustard seed for antibiotic and gut health applications, assess their efficacy against food spoilage microbes and disease pathogens, and test their antioxidant and anti-inflammatory effects. This initiative aligns with global efforts to combat antimicrobial resistance, a significant threat to human and animal health.

Positive

• Secured funding from Agriculture and Agri-Food Canada for research into new product opportunities
• Potential expansion into human and animal health markets, including functional foods and nutraceuticals
• Collaboration with a leading research institute (AAFC's Guelph Research & Development Centre)
• Aligns with global efforts to combat antimicrobial resistance, addressing a $5.6 billion market (2022)
• Maintains focus on core agricultural biopesticide business while exploring new revenue streams

Negative

• Funding amount from AAFC not disclosed, subject to negotiation
• Research outcomes and potential product development timelines uncertain
• No guarantee of successful product development or market entry in new sectors

• MustGrow will be receiving funding from Agriculture and Agri-Food Canada to investigate mustard-derived ingredient opportunities in human & animal health applications.

• Potential product opportunities may include application in functional foods and nutraceuticals for improved immunity and gut health in humans, as natural food preservatives, as well as a replacement for antibiotics in animal feeds.

Saskatoon, Saskatchewan--(Newsfile Corp. - September 17, 2024) - MustGrow Biologics Corp. (TSXV: MGRO) (OTCQB: MGROF) (FSE: 0C0) (the "Company" or "MustGrow") is pleased to announce funding from Agriculture and Agri-Food Canada ("AAFC") to investigate mustard-derived ingredient opportunities in human & animal health and food applications (the "Project"). The funding is provided through the AgriScience Program - Projects Component, under the Sustainable Canadian Agricultural Partnership.
 

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/7108/223550_9302baf5f4ca3b65_001full.jpg
 

The work will be conducted in connection with AAFC's Guelph Research & Development Centre ("GRDC") located in Guelph, Ontario, Canada, and it will be led by Dr. Rong Cao. Costs associated with the Project will be covered by both MustGrow and AAFC through a Collaborative Research and Development Agreement under the AgriScience Program. All investigational research activities will be conducted at the GRDC. The funding amount received from AAFC is subject to the negotiation of the Collaborative Research and Development Agreement. The funding does not imply Government of Canada endorsement of MustGrow's findings, products, or practices.

MustGrow has always suspected potential product ingredient opportunities of mustard derivatives in human & animal health applications, including functional foods and nutraceuticals for improved immunity and gut health in humans, as natural food preservatives, as well as a replacement for antibiotics in animal feeds. The GRDC is a leading research institute in food health attributes and safety.

MustGrow will continue to focus on its core business in natural agricultural biopesticides, biofumigants, and biofertility products derived from the mustard seed or its processing by-products, while pursuing this opportunity in human and animal health in a cost-effective and expedient structure. MustGrow's biofertility product, TerraSante^TM, is currently being marketed and sold in the United States, with additional biocontrol development programs underway with four global partners: Bayer, Sumitomo Corporation, Janssen PMP, and NexusBioAg.

The Health Program

Together, MustGrow and AAFC will:

• Analyze the major bioactive components in mustard seed that may have antibiotic and gut health applications in both humans and animals.

• Assess yellow mustard extracts for efficacy in converting glucosinolates into active ingredients that may have antibiotic and gut health applications in both humans and animals.

• Test the selected bioactive components for antifungal and antibacterial activities against food spoilage microbes and disease pathogens, including the banana-plaguing disease Fusarium wilt TR4.

• Test the selected bioactive components for antioxidant and anti-inflammatory effects, for use as ingredients in functional foods and nutraceuticals for improved immunity and gut health in both humans and animals.

MustGrow has always believed that there is a potential for new products to be developed and deployed in antibiotic and gut health applications using bioactives derived from the mustard seed. These new applications would be directed at antimicrobial, antioxidant, and anti-inflammatory uses in functional foods, gut health, and nutraceuticals in both human and animal health.

Global Threat

Antimicrobial resistance ("AMR") has become a leading global cause of death and is one of the greatest global health challenges: a growing threat to both human and animal health, as well as global food security.⁽¹⁾ In 2019, an estimated 4.95 million deaths were associated with bacterial AMR, including 1.27 million deaths directly attributable to bacterial AMR itself.⁽²⁾

The 2022 global animal antibiotics market was valued at US$5.6 billion, with usage estimates for cattle, sheep, chicken, and pigs expected to increase to 107,472 tonnes by 2030 (an 8% increase over 2020).⁽³⁾⁽⁴⁾ Experts warn that overuse of antibiotics in livestock could lead to potentially fatal antibiotic-resistant infections in these animals, and alarmingly in humans as well, as new bacteria emerge with built-in resistance to the human immune system.⁽⁴⁾

Some estimate antibiotic-resistant infections will kill as many as 10 million per year people by 2050 - on par with the 2020 global death toll from all cancers.⁽⁵⁾

Sources:

(1) https://www.woah.org/en/what-we-do/global-initiatives/antimicrobial-resistance/
(2) Global burden of bacterial antimicrobial resistance in 2019: a systematic analysis - The Lancet
(3) https://www.factmr.com/report/1049/animal-antibiotics-market#:~:text=market%20at%20present%3F-,The%20global%20animal%20antibiotics%20market%20at%20present%20is%20valued%20at,Billion%20in%20the%20year%202022
(4) https://www.statista.com/chart/30078/biggest-users-of-antimicrobials-in-food-processing-animals/
(5) Chart: Deaths From Drug-Resistant Infections Set To Skyrocket | Statista

About MustGrow

MustGrow is an agriculture biotech company developing organic biocontrol and biofertility products by harnessing the natural defense mechanism and organic materials of the mustard plant to sustainably protect the global food supply and help farmers feed the world. MustGrow and its leading global partners -- Bayer, Janssen PMP (pharmaceutical division of Johnson & Johnson), Sumitomo Corporation, and Univar Solutions' NexusBioAg -- are developing mustard-based organic solutions for applications in biocontrol to potentially replace harmful synthetic chemicals in preplant soil treatment and weed control, to postharvest disease control and food preservation. Bayer has a commercial agreement to develop and commercialize MustGrow's biocontrol soil applications in Europe, Africa, and the Middle East. Concurrently, with new formulations derived from food-grade mustard, the Company is pursuing the adoption and use of its Organic Materials Review Institute (OMRI Listed^®) and California's Organic Input Material (OIM) Program registered biofertility product, TerraSante^TM, in key U.S. states including California. Over 150 independent tests have been completed, validating MustGrow's safe and effective approach to crop and food protection and yield enhancements. Pending regulatory approval, MustGrow's patented liquid technologies could be applied through injection, standard drip or spray equipment, improving functionality and performance features. MustGrow has approximately 51.6 million basic common shares issued and outstanding and 55.7 million shares fully diluted. For further details, please visit www.mustgrow.ca.

Contact Information

Corey Giasson
Director & CEO
Phone: +1-306-668-2652
info@mustgrow.ca

MustGrow Forward-Looking Statements

Certain statements included in this news release constitute "forward-looking statements" which involve known and unknown risks, uncertainties and other factors that may affect the results, performance or achievements of MustGrow.

Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects", "is expected", "budget", "estimates", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might", "occur" or "be achieved". Examples of forward-looking statements in this news release include, among others, statements MustGrow makes regarding: the product ingredient opportunities of mustard derivatives in human & animal health application, the use of the proceeds of the funding; the outcome of the Health Program; the continued persistence of antimicrobial resistance; and the Company's focus on its core products and business. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of MustGrow to differ materially from those discussed in such forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on, MustGrow. These risks described in more detail in MustGrow's Annual Information Form for the year ended December 31, 2023 and other continuous disclosure documents filed by MustGrow with the applicable securities regulatory authorities which are available at www.sedar.com. Readers are referred to such documents for more detailed information about MustGrow, which is subject to the qualifications, assumptions and notes set forth therein.

Disclaimer:

This news release may include references to third-party information, opinions, or statements. The Company does not guarantee the accuracy, reliability, or completeness of any information provided by third parties. Such information is included solely for informational purposes and should not be construed as endorsements or representations. Readers are advised to independently verify any claims, statements, or conclusions drawn from third-party sources before making any decisions or taking action based on this information.

This release does not constitute an offer for sale of, nor a solicitation for offers to buy, any securities in the United States.

Neither the TSXV, nor their Regulation Services Provider (as that term is defined in the policies of the TSXV), nor the OTC Markets has approved the contents of this release or accepts responsibility for the adequacy or accuracy of this release.

© 2024 MustGrow Biologics Corp. All rights reserved.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/223550

FAQ

What is the purpose of MustGrow's (MGROF) new research project with AAFC?

MustGrow is investigating mustard-derived ingredient opportunities for human and animal health applications, including functional foods, nutraceuticals, natural food preservatives, and antibiotic replacements in animal feeds.

How is MustGrow's (MGROF) research project funded?

The project is funded by Agriculture and Agri-Food Canada (AAFC) through the AgriScience Program - Projects Component, under the Sustainable Canadian Agricultural Partnership. MustGrow will also contribute to the project costs.

What potential markets is MustGrow (MGROF) targeting with this research?

MustGrow is targeting markets in functional foods, nutraceuticals for human immunity and gut health, natural food preservatives, and antibiotic replacements in animal feeds. The global animal antibiotics market was valued at US$5.6 billion in 2022.

Where will MustGrow's (MGROF) research be conducted?

The research will be conducted at AAFC's Guelph Research & Development Centre (GRDC) in Guelph, Ontario, Canada, led by Dr. Rong Cao.