Storm-Klear Manufacturer Announces Merger

Vanson joins with HaloSource to enhance innovation for water treatment, other markets

Vanson, Inc. and HaloSource Corp. announced the completion of a merger to form Vanson HaloSource, uniting core business functions and scientific expertise to create innovative products based on Vanson's chitin and chitosan technology and HaloSource's antimicrobial technology.

"The synergy created by this merger is a case of one-plus-one equals three," said Jerry Wetherbee, Vanson HaloSource CEO and former head of Vanson. "We have already seen that the integration of the talents, resources and best practices of Vanson and HaloSource is allowing us to leverage our strengths to deliver exponential benefits to our customers and other stakeholders."

Vanson's offerings are made from chitin, one of the world's most abundant natural polymers, and chitosan, a derivative of chitin. Chitin and chitosan, which are refined from crustacean shells, have unique chemical binding properties that make them useful in a variety of functions, including healing wounds and clarifying liquids. Biodegradable and non-toxic, chitin and chitosan have many water treatment, biomedical, home care, personal care and other applications.

Currently, the company produces chitosan-based Storm-Klear(tm) and Klarify for the storm water and wastewater treatment markets. Storm-Klear naturally reverses the process of soil contamination in storm water by reducing turbidity, phosphorous, metals, oils and grease. In turbid water, the chitosan in Storm-Klear coagulates sediment particles for efficient gravity settling, bio-filtration, sand filtration, or cartridge filtration in various industrial, municipal and construction applications.

Klarify is a powerful wastewater clarifier that safely flocculates suspended contaminants from beef, poultry, vegetable and other industrial processing waste streams.

HaloSource's core N-halamine technology harnesses the power of chlorine--one of the most broadly used and effective antimicrobials - to kill all known bacteria, viruses, fungi and most parasites on solid surfaces and textile fibers. The technology enhances and prolongs the antimicrobial effectiveness of chlorine while significantly reducing toxic, carcinogenic and corrosive by-products in ways that existing products cannot.

The addition of HaloSource's Halopure(tm) technology will integrate the antimicrobial properties of chlorine by attaching N-halamines to beads used in water filters, improving water purification for drinking water treatment, cooling towers and aquaculture. In addition to applications in the industrialized world, there is significant potential to generate potable water for developing countries without the need for electrical power or other forms of energy.

"The combination of our technology platforms will bring incredible synergies to a wide range of markets," said Jeff Williams, Vanson HaloSource CTO and former CEO and founder of HaloSource. "We made significant progress with HaloSource's proprietary technology, and working with Vanson is a powerful step forward in our drive to bring innovative products to customers."

Vanson HaloSource plans to capitalize on joint manufacturing facilities and distribution channels to better serve existing customers in the water purification and clarification, biomedical, nutritional supplements and cosmetics industries. By combining the two companies' diversified product and technology portfolios, Vanson HaloSource will accelerate product improvements to reach customers in new industries and expand its presence in shared markets.

Vanson's manufacturing facilities in Raymond, Wash., will accommodate production of most Vanson HaloSource offerings, allowing for flexibility, lower production costs and the ability to protect intellectual property.

Wetherbee said the merger will not initially affect staffing levels. Instead, he emphasized that experts from both companies will create a scientifically diverse staff and enhance the company's ability to generate a broad spectrum of products.

"By bringing together chemists, biochemists and microbiologists, we will promote intellectual cross-pollination through a truly dynamic research and development environment," Wetherbee said. "The merger creates abundant product possibilities and growth potential to become one of the next large companies emerging from the Northwest."

The merger joins two diversified product lines and brands including Sea-Klear®, Storm-Klear(tm), Klarify(tm), ZeroPhos(tm) and LipoSan Ultra® from Vanson, and Haloshield®, Halopure® and Halofresh® from HaloSource.

Vanson, Inc.

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