# Biodel AG Inc.

Raising $1.5M for Climate Smart Agriculture

## Elevator pitch
We make Sequester, a cyanobacteria-based biological input that restores salt-affected and depleted soils. Sequester is an essential and effective tool for microbial soil reclamation, supporting the transition to regenerative practices for commercial agriculture, homeowners, sports turf and landscapers. Biodel AG will continually improve and expand our product portfolio with other naturally derived plant-based ingredients where we have a distinct market advantage.

- Canonical URL: https://wefunder.com/biodel.ag.inc
- Entity ID: wefunder:company:113894
- Last updated: 2026-06-16T05:02:48Z
- Generated at: 2026-06-17T02:24:45Z

## Quick facts
- Sequester Naturally Turns Dirt Back to Soil Boosting Crop Yields, Fixing Nitrogen, & Captures CO2
- Revenue Up 144% to $561K+ Past Year. Projections for Growth $4M+ for 2023; and $68M+ for 2026
- Raised $2.8+ Million from 42 Private & Angel Investors
- Our Team: AG Biologics Rockstars with 5 Patents and another 12 Patents Pending
- Our Proprietary Blend is Proven to Capture Significant Carbon Keeping it Out of the Atmosphere
- Soil Depletion and Water Shortages Are Increasingly Causing Crisis and We Have a Solution

## Active fundraises
- wefunder:fundraise:61966: 4(a)(6) successful (USD)
- wefunder:fundraise:64472: 4(a)(6) successful (USD)

## Story
The planet depends on us transitioning to regenerative farming before it’s too late. Depleted soils could diminish farmer’s profitability, limit yields and fail to store carbon in the soil instead of the atmosphere.Biodel AG develops, makes, and sells two products (and is developing more!): Sequester®, a soil amendment and fertilizer that restores soil health to build higher crop yields and profits. Sequester® is sold directly to ag distributors, ag consultants, and consumers at 60% margins to BiodelIsoprenoid Amino Complex® (IAC), a patented fertility and biostimulant plant extract under a strong License Agreement with 80% margins to BiodelSequester® is available at https://sequester.ag and Sequester on AmazonAgriculture as an Industry Contributes More Than $1 Trillion to the US GDP Every YearBiodel Ag Inc plans to capture a significant portion of the market with Sequester and new products.As an Investor in Biodel AG:1. You are making a strong contribution to restoring soil health and sequestering carbon. YOUR investment drives the introduction and sale of Sequester® to an expanding market that must rapidly shift to regenerative practices.2. You will receive a gift of Sequester® product to use on your own soils – lawn and landscape, with the option to purchase additional product at a discounted rate as an investor. Discounts will apply to large commercial AG producers who are investors as well.3. Your investment will have an impact throughout the world as individuals, landowners, governments, NGOs and major CO2 emitters seek economical ways to sequester atmospheric carbon back into the soil.4. Finally, the board of directors and management team of Biodel Ag are highly experienced individuals from business and agriculture who have contributed capital, time, and expertise to establish Biodel AG and develop Sequester®.As you consider joining Biodel AG as an investor, our interests are aligned with a noble cause of restoring sustainability and resilience to our food supply while facilitating the sequestration of GHG’s to rebalance our atmosphere. Forward looking statements cannot be guaranteed.

## FAQ
1. **As a Registered Dietitian Nutritionist (RDN), the terms “dirt” vs “soil” caught my attention. What impact does Sequester potentially have on the nutritional value of crops produced? Thank you, Dr. Glenna McCollum, DM MPH RDN FAND**
   - Hello Dr. McCollum, and thank you for your thoughtful question. Sequester harnesses proprietary strains of cyanobacteria, natural soil microbes, to restore the essential soil functions of cycling carbon, water and nutrients in depleted soils. “Living soil” refers to the essential microorganisms that drive these soil functions. Planting in healthy, functional soils is the foundation for highly nutritious food. Today, most soils are in a depleted state, therefore the nutritional value of our fo...
2. **I have a couple of questions: 1) How does the company make money? - Who is/are the intended users/consumers of the company's product, and what are the primary objections from this customer base as to why they elect not to move forward? - In this vein, assuming it is involves a...**
   - Michael, I'm glad to answer your questions. 1) How does the company make money? Income for Biodel AG is generated from two manufactured products. First is a patented plant extract called Isoprenoid Amino Complex (IAC) that is used as an ingredient in biological plant fertility and biostimulant products under a License agreement. Biodel AG processes the extract and receives a set price per gallon of material delivered. We enjoy a 75% gross margin and sales are growing rapidly year-over-year. S...
3. **I would like to try the product where can I purchase it?**
   - Thank you, Michael. Shop Sequester at: https://sequester.ag/
4. **Looks like a great product addressing an important challenge for sustainable agriculture. However, I'm a little concerned about the financial position with little cash on hand, an overdue loan at a high-interest rate and I'm unclear what happened to the $660k in equity financi...**
   - Morning Iain, and thanks for your interest. In response to your questions: (1) Cash position is low right now, as we have been building our marketing program for Sequester in addition to our regular costs. Also, this business is a seasonal and Q3 is historically the slow period. We manage cash flow very carefully. Our objective to go out with this capital raise at this time is to fund the market introduction of Sequester, which has to be done prior to the spring marketing season. (2) The loan...
5. **I am excited to see a product that will help us restore our soils using a more natural approach. I very much hope you are a success in your mission! Is the license from Phyco BioSciences Inc. for Cyanoblend exclusive for Biodel AG Inc. and/or is it possible that a larger compa...**
   - William, Thank you for your detailed questions. I will answer them numerically: 1) Is the license with Phyco BioSciences Inc exclusive? Yes, it is exclusive to Biodel AG Inc. 2) Is it possible that a larger company could easily start making their own version of Cyanoblend (Sequester)? Regardless of company size, others can certainly identify cyanobacteria strains and culture them for use as a soil reclamation product. Of course this would take a number of years to accomplish as significant te...

## Team
- Ben Cloud (Chief Executive Officer)
- Michael Kirksey (Chief Financial Officer)
- Kent Adams (Strategy)

## Recent posts
- Biodel 2023 Shareholder Report (2024-02-21T21:30:46Z)
- Regenerative Ag with Biodel’s Ben Cloud and Dr. Paul Zorner, Ep #35 on Invest in Climate podcast (2023-01-17T17:53:06Z)
- Where is Biodel AG going? (2022-12-29T21:38:57Z)
- GrowthSeed Invests in Biodel AG (2022-12-29T21:32:17Z)
- Biodel AG to Speak at World AG Expo 2023 (2022-12-08T22:02:32Z)
- Biodel AG: A Moonshot with Perfect Timing (2022-12-02T18:19:26Z)
- Biodel AG Founder Ben Cloud on How Bacteria is Revitalizing Soil (2022-11-17T19:34:36Z)
- Less than $10,000 of the Early-Bird Terms (25% Discount on Valuation instead of 20%) are left on Biodel’s Raise (2022-11-15T22:48:05Z)
- Biodel AG Just Received Purchase Orders Totaling $156,462 for January 2023 (2022-11-08T21:01:06Z)
- Earth911 Podcast: Biodel Ag CEO Ben Cloud on Accelerating Soil Restoration With Sequester (2022-10-31T20:33:44Z)
- Biodel AG in the News: Farm To Table Talk podcast interview "Frontiers Below – Ben Cloud" (2022-10-24T21:48:27Z)
- Social Impact Heroes Helping Our Planet: Why & How Ben Cloud Of Biodel AG Is Helping To Change Our World (2022-10-21T23:03:59Z)
- Earth's original inhabitants -- and their role in combating climate change (2022-10-19T23:47:30Z)
- Biodel AG Receives $176K Product Order (2022-10-18T22:14:24Z)
- Global Soil Amendments Market Projected to Reach $6M by 2027 (2022-10-04T16:17:23Z)

## Q&A
- Q: As a Registered Dietitian Nutritionist (RDN), the terms “dirt” vs “soil” caught my attention. What impact does Sequester potentially have on the nutritional value of crops produced? Thank you, Dr. Glenna McCollum, DM MPH RDN FAND
  - A: Hello Dr. McCollum, and thank you for your thoughtful question. Sequester harnesses proprietary strains of cyanobacteria, natural soil microbes, to restore the essential soil functions of cycling carbon, water and nutrients in depleted soils. “Living soil” refers to the essential microorganisms that drive these soil functions. Planting in healthy, functional soils is the foundation for highly nutritious food. Today, most soils are in a depleted state, therefore the nutritional value of our foods has declined proportionately. Sequester restores soil health and function. As soil health is restored, the nutritional value of crops produced are improved.
- Q: Thank you for your response. If for example what of the exit strategies is an acquisition by a large firm, what will that deal look like for investors? Also is the convertible note going into common stock? Do you have an idea of what you are looking to raise in 2023?
  - A: Acquisitions in this space have typically been for cash rather than Acquirer's stock. A good recent example is FMC's acquisition of BioPhero for $200 Million in Q3 of 2022, with BioPhero having its 1st commercial sale in May of 2022. Their products are of course much different than ours. The Convertible Note is convertible into Preferred Stock at a 25% Discount from the Price on the next Equity Round. We are estimating a 2023 raise of $4-5 Million, and have not finalized the amount before some additional marketing feedback.
- Q: I have a couple of questions: 1) How does the company make money? - Who is/are the intended users/consumers of the company's product, and what are the primary objections from this customer base as to why they elect not to move forward? - In this vein, assuming it is involves a function of cost, could the company provide a different financing path to help increase prospect penetration? And 2) How does the company's product and/or services meet the emerging field of vertical farming? - Is it that large vertical farmers such as AppHarvest have a different solution to preserving their soil integrity vs more traditional farmers having to manage much larger swaths of land? - Do the products/services of Biodel AG propose equal value to both traditional as well vertical farmers? If not, is there a separate solution that is more appropriate to market to vertical farmers?
  - A: Michael, I'm glad to answer your questions. 1) How does the company make money? Income for Biodel AG is generated from two manufactured products. First is a patented plant extract called Isoprenoid Amino Complex (IAC) that is used as an ingredient in biological plant fertility and biostimulant products under a License agreement. Biodel AG processes the extract and receives a set price per gallon of material delivered. We enjoy a 75% gross margin and sales are growing rapidly year-over-year. Second, is Sequester. Biodel AG produces a proprietary blend of cyanobacteria strains called Cyanoblend(tm). Sequester is formulated with Cyanoblend(tm) and IAC and a couple of other soil/plant enhancing ingredients. The Sequester brand is owned exclusively by Biodel AG and is sold to agricultural distributors, crop consultants, and AG retailers. In addition, we have an online store for B2C transactions at https://sequester.ag Today, the primary objection by customers/users is related to the adoption of regenerative practices. If they are ready to transition from conventional to regenerative practices, there is no resistance to using Sequester as it lowers the economic risk faced by crop producers. Today, approximately 5% of intensively farmed land (means inputs are applied - currently 450 MM acres US) that is considered regenerative (primarily organic crops), however it is clear that the remaining 95% will transition over the coming 30 years as government incentives and the market for carbon credits emerges and increases in value. That is our market focus for Sequester. To provide the most effective and economical means to Crop Producers to restore soil health and function while growing high yielding crops. 2) How does the company's product and/or services meet the emerging field of vertical farming? We are seeing great potential in vertical farming, especially now that some of the largest produce growers are entering the field to enhance their terrestrial operations. So, the business opportunity relates to the soil blends used by vertical farming operators, and the type of growing technology adopted. Soil media, even if nutrient enhanced water is all that is used, require the same nutrients, vitamins and minerals as field crops. The ingredients in Sequester contain ALL of the essential amino acids for plant growth and much more. Generally, vertical farming operations replace their soil blends after each crop cycle, using a lot of soil medium. So far, we have been asked by two vertical farming operations to begin trials with various soil blends with the inclusion of Sequester. This will take at least two years to properly evaluate, but regardless of development time, I suggest that the vertical farming sector is is a fit for Sequester.
- Q: Hi, when will be updated on the announced conversion of our investments?
  - A: Hi Joris, your investment converted (principal & accrued interest) to 2,572 Preferred Shares of Biodel AG on 8/28/2023. Pangaea invested at $.49967 per Preferred Share, and with the 20% Discount to the Wefunder investors, your Converted Value Per Preferred Share is $.399375. Your shares are reflected on our Cap Table as a portion of the SPV 'Biodel AG Inc. 1' per the Wefunder Agreement. We sent notice to all of our Wefunder Investors on 9/1/2023 what each of their conversions was valued at, etc. I will resend to you at jostr@hotmail.com Thanks again!
- Q: How does your product compare to a prebiotic like AgriGrow? Also, pricing they are $39.95 for 32 oz
  - A: Sequester®'s Cyanoblend is a mixture of 4 microbial species (with added nutrients), while a prebiotic is a nutrient for the microbes already present. They might work well together, but Sequester will produce specific organisms as a portion of the soil microbiome. The price you mention is roughly $1.25/ounce - Sequester®'s MSRP is $60.00/gallon, or roughly $0.47/ounce.
  - A: Amy, The objective of restoring soil health and function begins with the restoration and maintenance of the soils microbial biomass. There are basically 5-ways to inoculate the soil with essential microbes: 1) Grazing; 2) Apply manure or compost; 3) Apply a Microbial Extract with a Biofertilizer; 4) Apply nitrogen-fixing photosynthetic autotrophs like Sequester; or 5) apply a pre-biotic nutrient like AgriGro, that feeds the existing microbes to functional levels. The AgriGro approach is effective as compared to the challenge with adding a microbial extract with a biofertilizer that creates delivery issues due to the limited time window to apply after being mixed together. It has a shelf life of hours rather than months and even years, like most products. Sequester contains multiple strains of Cyanobacteria that are nitrogen-fixing, photosynthetic autotrophs. Nutritionally, they fix atmospheric nitrogen and also solubilize phosphates the two primary nutrients for plants. Photosynthetic means they are single-cell plants and convert sunlight and carbon dioxide into plant sugars and oxygen, so they bring their own energy and do not have to be fed. Finally, they are Autorophs (producer) that have the ability to generate energy as photosynthetic organisms. Generarlly, bacteria, fungi, protozoa, and nematodes are Heterotrophs, consumers that consume producers or other consumers. Biodel AG has developed a formulation that uses cyanobacteria as the primary ingredient along with biostimulants and other microbial enhancement ingredients that has a long shelf life wile retaining efficacy in the field.
- Q: Two Questions: Could you comment on the use of cyanobacteria to help alkaline soils? In just a few searches I have read about the ability of these bacteria to possibly fix nitrogen and remediate soils to bring down heavy PH soils. High PH in soil, like high acidity or salts results in nutrient lockout, thereby increasing plant stress and reducing plant health. PH continues to increase in semi-arid regions, such as Central Texas. It is already at at PH of 8, as is our water. If your products not only reduce the need for additional water, but can also reduce the PH, thereby lowering the need for additional soil amendments, that could be a real help to farmers in our region. Texas is a HUGE Ag state. We also have an extensive network here through Texas A & M that you may want to consider partnering with for research into this, if the research is not already readily available. 2nd question: We are also a large livestock state. Can you comment on any research or findings on the health of animals, specifically beff cattle, chicken, goats, horses and sheep exposed to cyanobacteria? I see you have a product for pastures. Do you know how this effects animal health, and how the effects on humans consuming these animals products after exposure to cyanobacteria? Thank you for your time.
  - A: Hi Amy, Thanks for the questions. (1). Sequester will help to reduce pH in alkaline soils, and due to the lower pH will help to free up phosphates and other nutrients. The Cyanobacteria will also fix atmospheric nitrogen in the soil, which may allow lower nitrogen fertilizer use - some of those fertilizers will drive pH up rather than down. They also help move salt - sodium ions - out of the soil particles and into sugar polymers where they can't contribute to pH or to abiotic stress on the crop. Sequester is a great product for salty soils, and Texas A & M is definitely on our radar as a research partner. (2) EPA and NIH don't cite any cyanobacteria species as causing any direct diseases in animals. Cyanobacteria, as the organisms in 'algal blooms,' produce toxins that are harmful, but those are produced in large bodies of water where the conditions are just right, and the cyanobacteria is an opportunistic organism. Cyanobacteria are everywhere in nature - Sequester uses certain species of them to build a diverse microbial profile where the cyanobacteria are not dominant, just working partners. Cyanobacteria in Sequester may even reduce algal blooms by balancing the soil makeup and reducing the fertilizer runoffs that can contribute to these blooms.
- Q: Good day Ben, Quick question 1) Valuation seems steep at $25M ... can u justify 2) I see convertible at 25M.. so assume in next round it will be 25% discount from valuation... but if this valuation is 25M ... how r u saying next round valuation will be 4M... i am confused. Best MN
  - A: Hi Murali, This Wefunder Convertible Round started at a 25% discount to $25M, or $18.75M; we've passed that milestone on the raise, so the rest of the Wefunder Convertible Notes will be priced at a discount of 20%, or $20 Million in proposed valuation. These values are market dependent, so if our equity round were raised at a valuation lower than the $25 million, the investor in the Wefunder round will get 20% off whatever the priced round moves at. We feel it is a reasonable valuation given that our current revenue growth rate is 147% year-over-year, and we have 2023 estimates of up to 4X 2022 revenues, with some strong IP and other assets. I'm not clear what the $4M 'valuation' refers to in your question - we have stated that the amount raised in the follow-on equity round will be for $4 Million+.
- Q: Hello, Having "farmed" and being a beginner investor at Wefunder. Is your product something you have tested as to compatibility in tank mixes? Basically does it mix well or can be used for single applications? Thank you. Steven Alexander
  - A: Steven, Sequester can be tank mixed with other liquid fertilizer products, both synthetic and microbial. As Sequester includes live microbes, it is best NOT to mix with chemicals such as fungicides and herbicides. Thank you for the question. Ben
- Q: Could you discuss why customers would select your product over competitor cyanobacteria products?
  - A: Thank you for the question Douglas. Cyanobacteria improve soil fertility and ecological functions through the fixation of atmospheric nitrogen, phosphate solubilization, and the release of biologically active compounds such as phytohormones, amino acids, polysaccharides and vitamins. To answer your question specifically, Sequester contains a proprietary blend of cyanobacteria strains that are more effective together than individually as they provide diversity in the soils microbiome.
- Q: The issue is the majority of your revenue is now in the hands of the licensee and your revenue is dependant by how that company grows, if they grow you grow. The exclusivity has pros and cons.
  - A: Aslan, I respectfully disagree with your assumptions and characterization that "its a shame" regarding valuation. Further, suggesting our revenue is dependent by how our Licensee grows. That is your opinion and thank you for expressing it as it provides the opportunity to put forward the reasoning for our valuation. Valuation is a process used to estimate the economic value of an owner's interest in a business. Many factors are considered such as past and current revenues. projected revenues, IP position, market size, potential and the projected revenues generated from the addition of capital. With Biodel AG, we are seeking capital to primarily market our product Sequester and capture what we see as a rapidly growing market demand for carbon sequestration and related benefits to customers. Our licensed plant extract ingredient serves to provide positive cash flow that is increasing at a rapid rate which serves to support our business overall, while assuring stability and performance for our shareholders. The key driver of our valuation is the projected EBITDA in 2026. It projects $68+ Million in revenue; EBITDA of $27+ Million. The AG Biologics Industry sells at a multiple of 15.89x EBITDA for a total valuation of $430+ Million in based on 2026 projections. Based on outstanding shares of 16,850,000, the value would be $25.52 per share. If you consider that you can buy shares today for $2 per share, less a 20% discount, a $25 value in 5 years would be 12.5x the current share price. Here is the good news, we see our projections as conservative. Why? To generate the projected revenue, we need to sell to 0.5% of US acreage only. That is 1/2 of 1%. Our expectations are higher because we will be marketing internationally that significantly expands the market base 3-5x. So let's summarize: 1. We have an existing, high performing product that is licensed at a high margin price that serves as a basis of value for the long run. 2. We have our own branded product that is hitting the market as the public market for carbon credits is emerging and literally Trillions in government spending will be expended in the coming three decades to sequester carbon with AG Lands. 4. Our projected revenues are conservative and shares are offered at an attractive price. 5. The heavy lifting is done with all of the development work and product registration so we can scale the marketing with funds from this offering. The risk is low and the potential is high. I appreciate your assumptive conclusions, but please remember this is a Crowd Funding Round where most shareholders are seeking the early stages of a start up with tremendous upside. I suggest we provide the upside potential without the underlying risk of most startups.
- Q: Thank you for all the information. I like the product a lot and the issues that it solves are very important to me. My issue is with the evaluation, with revenue at approx 400k this year with a 77% profit margin, and with future projections i cannot see an investor making a return at 18.45million. Its a real shame.
  - A: This is a growth stage company with new innovations and IP and is embarking on the introduction of a great new product in Sequester, supported by our existing plant extract sales. The 'Ag Biologicals' market is growing strongly, and the perception that agriculture may be a major solution in the storage of GHGs is growing everyday. Biodel received patent protection in 2 new jurisdictions in 2022, and will likely receive a 3rd before year-end. All the markers are here for continued growth and market acceptance. Keep in mind that the valuation shown is for conversion of the Note - if the market values Biodel at less on the next round, the Convertible Note holders will get more shares for their dollars. No, Biodel is not a blue chip stock - and nothing on Wefunder is. These are speculative investments with a strong potential for failure, and huge potential for great returns if successful. These aren't investments you put all your funds into - they are investments that you risk a small piece of your portfolio on, sit back and enjoy the ride. As you say, Biodel and Sequester are resolving some important issues, so come along with us!
- Q: Thank you, and is this exclusivity agreement just in the US? Could you for example provide this extract to other companies outside? What are your plans relating to the extract over the coming years?... what is the revenue from the sequester solution product you are selling separately?
  - A: The exclusivity is worldwide at this time. Biodel could provide the extract in other countries to different customers jointly with the Licensee. We will continue to develop the extract for its current uses and pursue the registrations for it as both a biostimulant and a pesticide with our licensee - please note that we have patents or applications in 12 international jurisdictions. We should point out that the Licensee is a strategic shareholder, and so has a strong financial commitment to Biodel's success. The Sequester Soil Amendment has roughly $80K in revenue so far in 2022, in its first year in the market. The big push on Sequester is for 2023 crop year, and growers are already expressing strong interest.
- Q: Can you explain how it increased from 50% since the last question? Maybe I am confusing something here but does this licensee agreement exclusivity mean that you can only supply this one company with the product?
  - A: Aslam, Today, we received a PO for $176,000 from our Licensee for plant extract to be delivered in December and January. That is used as an ingredient in their branded products used by farmers in the spring. The license for our plant extract is exclusive. It was the right structure to arrange with an organization that has the sales capability we did not have as a start-up. We are very pleased with the deal and the Licensee. To make sure you are not confused by this answer, Biodel AG or anyone else can purchase the extract from the Licensee. We have such an arrangement with the Licensee to use the plant extract in our Sequester product. Thanks again, Ben Cloud, CEO
- Q: thank you again, though the licensee deal is bringing good traction, the exclusivity is worrying, because of the growth factor that I feel it stagnates, for example $325K revenue over the last 12 months and a valuation cap of 18.75 million, they are very far apart and for an investor to make a return? Having a single licensee slows the development , they also have no contract in place I presume for the supply they need or pre made orders that guarantee? Even if they did I don't see it reaching the valuation cap here.
  - A: Aslam, I appreciate your assumptive analysis, but you are referring to one piece of the revenue stream with regards to the license, which by the way has increased by 50% since answering your last question. The license is in fact a license and supply agreement. Our position is secure in that we have a fixed, high margin sales price, we own the patent, and margins will improve further with greater volume sales. The value cap is achieved with our licensed product as well as our Sequester product as spelled out in our cash flow projections. However, we also have a pipeline of products that will be developed from our patented and proprietary ingredients. Thank you, Ben Cloud, CEO
- Q: Thank you for your prompt and detailed answer. What are the profit margins in this licence deal? Also will they purchase more year to year? I would like to see how the revenue will grow towards the future? When do you expect to be profitable? What is the exit strategy?
  - A: The gross profit margins in the License deal are 77% this year; the margins are very consistent from year-to-year as Biodel owns a large supply of the base raw material, and so is not subject to much supply chain risk. The expectation is that the Licensee's sales will continue to increase at least at the rate they did this year (76% over the last 12 mos. compared with the previous 12). Their sales may increase much faster than this, as they have been working with customers who could push a 4X or 5X growth multiple. Biodel also uses the plant extract in its Sequester product to push nutrient uptake, which will further drive Licensee purchases (a little reverse licensing). A final point on the License - the plant extract was originally conceived as a pesticide, as prelim trials showed some very strong pesticidal qualities. The extract has not been registered with EPA as a pesticide - a multi-year and 7-figure effort - but when that is achieved, both sales and value of the extract should accelerate rapidly. Our current model is to be profitable by 2024, based on the marketing push provided by these funding efforts. The best exit strategy looks like an acquisition by an industry leader, and interest from these leaders (Syngenta, Bayer, etc.) has been very strong in the 'biologicals' segment for several years. These big companies appear to readily buy biological technology rather than develop it internally. Biodel will continue to build value before entering into any of those discussions.