With the first month of 2023 already behind us, it is time for me to reach out and wish you and your families a very good year, abundant with happiness, success, and positive experiences. We at ADL Biopharma are excited about the opportunities and adventures this new year holds in store, and we look forward to a myriad of deliveries and innovation.

2022 has overall been a year full of uncertainties, started with the war in Ukraine, that generated an energetic and raw materials turmoil around the globe.

Nevertheless, ADL managed to achieve the objectives both in revenues and EBITDA, driven by the relationship crafted with the existing customers and the entrance of new clients into our Pilot Plant facility, that has assured a pipeline of projects.

On the delivery side, the first big news of the year was the approval of a new investment strategic plan, that will include both the creation of a new semi-industrial pilot plant and the extension of our fermentation and water treatment capacities. For this reason, we have started to share with potential investors this investment opportunity with great deal of positive traction from the market, that will allow us to close a deal in the coming weeks or months.

We are also very proud to share that ADL has successfully implemented a quality integrated management system (IMS), that is allowing ADL to get certification in ISO 14000, ISO 50000, ISO 45000 and ISO 22000 during Q1. The implementation of this IMS is therefore an important milestone and moves the company several steps closer towards our vision of becoming Europe’s preferred partners to manufacture wellness-oriented products, for both the food ingredients and personal care industries: catalyzing the transition to a more sustainable world.

Equally exciting were the reports from our Health & Safety department that has actively worked during this past year in identifying the different risks associated with our labour force, making ADL a much more secure work environment for our people.

For this reason, ADL main focus this year will be to enhance and propose the development and up-scaling services at our pilot facilities leaded by our Commercial Development team in line with our 2022-2026 Strategy. It will allow for significant progress in the access for biotech companies, whatever their size, to latter steps in the scale up of their technology innovations; that eventually will lead to commercial manufacturing services at the largest scale available. This remains a hugely ambitious undertaking in a highly complex and fragmented business environment.

We are also embarking on a new cost saving programme. We are going to search internally for process efficiencies, resources optimizations and yield improvements to allow us to deliver our customers the best €/produced kg ratio, in comparison with previous years. We will focus on connecting raw material suppliers, technical and production teams through project management offices to effectively control the entire value chain.

We will continue and extend the industry engagement exercise launched in 2022 to increase our understanding of the needs and priorities of other important stakeholders in the white biotech value chain and explore synergies for collaboration.

And finally, we will attempt to lay the groundwork for an Innovation Biotech Hub in Castilla y Leon region in Spain, which is expected to:

  1. Connect key stakeholders and close the remaining gap of knowledge between university, start-ups and commercial companies for several biotech fields.
  2. Improve the economic support and access to European and local funds for the development of new innovation valleys.
  3. Attract and retain the talent needed to foster the growth.

We cordially invite our partners and stakeholders to support, inspire and assist ADL in our purpose of transforming the precision fermentation enabled biotech landscape and people’s lives through sustainability for the better. 2023 will be another very busy and exciting year for us.

Ignacio Urbelz
Chief Executive Officer