Ginkgo Bioworks founders (from left) Jason Kelly, Barry Canton, Reshma Shetty, Austin Che, and Tom ... [+]
Although scientists discovered that DNA was a double helix in 1953, it was not until 1977 that researchers learned how to synthesize DNA. After 50 years of slow progress, recent technology for reading, writing, and editing DNA is accelerating and becoming more efficient. It’s now possible to give microbes—and increasingly, other kinds of cells—new genetic instructions, enabling them to make a range of sustainable products that are typically made from petrochemicals. This engineering approach, known as synthetic biology, could positively change manufacturing forever.
Today, Ginkgo Bioworks, a synthetic biology company with a goal of programming microbes as easily as one might programming computers, announced it will go public with a $15 billion pre-money valuation by merging with Soaring Eagle Acquisition, a special purpose acquisition company (SPAC). Ginkgo's $15 billion pre-money equity valuation is one of the largest SPAC deals in history. Appropriately, the company plans to trade under the ticker symbols, $DNA
The Growth of Synthetic Biology
Synthetic biology began 20 years ago and is now reaching global prominence. Ginkgo was an early pioneer of the technology and the first synthetic biology unicorn. With a mission to transform how products are manufactured, the company has grown along with the industry to reach new heights in funding and research.
About 10 years ago, investments in synthetic biology were less than $1 billion per year. By 2020, investments reached nearly $8 billion and are projected to grow to $36 billion by 2021.
SynBioBeta projects synthetic biology investment could reach $36 billion by the end of 2021 more ... [+]
Ginkgo is using its funding to reinvent manufacturing from the ground up with its novel approach known as a biofoundry. A biofoundry integrates biology with software to create products and allows companies to use automation for efficiency. Although Ginkgo is located in Boston, its technology platform is used globally by companies ranging from early-stage startups to the Fortune 500.
"We're democratizing access to biotechnology. Until now, you've needed a biotechnology department in order to access the huge potential that biotechnology offers. Ginkgo changed all that with access to our synthetic biology platform," says Jason Kelly, Ginkgo co-founder and CEO.
Making Biology More Easier to Engineer and More Accessible
Ginkgo is making biology easier to access and breaking down barriers in the industry that prevent companies from exploring biological options. Ginkgo's business model also relies on partnerships to achieve growth. The company has partnered with other industry leaders like Bayer and spun out several companies from its platform including advanced agriculture venture, Joyn Bio (with Bayer), the wastewater treatment company, Allonnia, and the food tech company, Motif Foodworks, which recently closed at $226 million Series B.
Partnerships are the key to changing how physical products are manufactured around the world. With several dozen partnerships, Ginkgo has already shown that it is possible to use its platform to make food ingredients, cosmetics, medicines, and other products. It is part of a growing trend that focuses on using biology to manufacture common items in an environmentally friendly way.
There is a shift in focus from petrochemicals to biochemicals as the main source of industrial and manufacturing bases. Biology has the potential to change manufacturing platforms globally and still produce the necessary fuels, consumer goods, chemicals, and other products that people need to thrive.
Jason Kelly will be speaking at the SynBioBeta’s Global Synthetic Biology Conference January 25-27th.
Thank you to Lana Bandoim for additional research and reporting in this article. I’m the founder of SynBioBeta, and some of the companies that I write about, including Ginkgo Bioworks, are sponsors of the SynBioBeta conference and weekly digest.
