Why they're Hot: Novozymes – #5 so far (#10 last year)

The Latest News: In October, Novozymes and Petrobras announced a partnership to develop enzymes and production processes to produce second generation lignocellulosic ethanol from bagasse in an enzymatic process.

It is estimated that bagasse-to-ethanol technology can increase Brazil’s ethanol production by some 2.8 billion gallons without having to increase the crop area. Novozymes is already carrying out research on enzymes to convert bagasse to cellulosic ethanol in order to make the process commercially viable. Enzymes break down plant waste such as corn stover, wheat straw, wood chips, and sugarcane bagasse, which is then fermented to produce ethanol.

The Digest’s Take: Novozymes is on an international expansion effort in developing nations, as evinced by their work in China and Brazil, and they are also benefiting from the overall upsurge in global ethanol usage as well as the number of the advanced biofuels partners who are getting closer to loan guarantees, price parity and scale.