Morgan Stanley Reports on Collaborative Efforts at Amyris

Morgan Stanley has published a report on Amyric Inc

in light of collaboration with Total. In the report, Morgan Stanley wrote, "We continue to reiterate our OW rating post Q2 results, which were a non-event, as quarterly financial results at this stage are not particularly meaningful. The announcement of the entrance into a term sheet with Total Gas & Power to form a JV to commercialize biodiesel is a positive development that should give the market more certainty regarding production volume of biodiesel. The agreement, which could close in H2, has the potential to lower net cash opex by ~$100m through 2013 as Total would fund additional R&D to help Amyris achieve 27% sugar to farnesene yields by early 2014, one year ahead of schedule." Morgan Stanley rated Amyris an Overweight with a price target of $32.00. Amyris closed Tuesday at $23.12.