Vancouver-based EnWave Corporation announces it has signed a royalty-bearing commercial license with Hormel Foods Corporation, a Fortune 500 company, to enable the production and sale of specific products dehydrated with the company's Radiant Energy Vacuum ("REV™") technology.
Enwave uses microwaves to draw the water out of food products without damaging them, promising dramatic time and cost savings over traditional freeze-drying. The global dehydration business is worth $2-billion a year, they say, and their products are being tested by giants like Nestlé, Kellogg and Ocean Spray. Under the license, EnWave and Hormel Foods have agreed to long-term royalty rates, broader global market rights and the use of EnWave's nutraDRIED™ trademark on the retail packaging of products from Hormel Foods. Other terms of the license will remain confidential.
To support on-going testing, EnWave is leasing Hormel Foods a large pilot-scale nutraREV production unit expected to be fully operational in the summer of 2013. Based on successful test efforts, Hormel Foods and EnWave have agreed on general commercial equipment designs and financial terms with plans to place a commercial-scale equipment order by the first half of 2014.
"The planned product launch by Hormel Foods represents another important market segment opportunity for our REV technology," stated Dr. Tim Durance, Chairman and Co-CEO of EnWave. "We believe that the marketing and distribution scale of Hormel Foods will enable these new products to have a very good chance for long-term commercial success on a global basis."