DSM Venturing, the corporate venturing unit of DSM (Sittard / The Netherlands; www.dsm.com), has made a capital investment in environmental polymers company Novomer (Ithaca, New York / USA; www.novomer.com) and plans to sign a cooperation agreement with the speciality materials company. DSM said that the deal forms part of its plan to develop bio-based performance polymers to meet demand for improved materials performance and environmental benefits at competitive costs. The company was joined by Flagship Ventures and Physic Ventures in this financing round. Financial details of the investment were not disclosed.

Novomer, which was established in 2004 and is based on pioneering catalysts developed at Cornell University, is developing a technology platform to use carbon dioxide and other renewable materials to produce performance polymers, plastics and other chemicals. The company’s products can be used in a range of applications from injection moulded parts for electronics to paper coatings and medical implants.

The planned cooperation agreement underlines DSM’s increased focus on developing synergies between its life sciences and material sciences activities. In a recent review of its "Vision 2010 – building on strengths" strategy, the company announced that the budget for venturing has been increased to up to EUR 200m in the period to 2012. The investment is the eighth in 2007 for its investment business.