Abstract: The present invention relates to an antifungal agent obtained from a bacterium, Bacillus sinaii. It is based, at least in part, on the discovery that in mixed cultures of the bacterium and various fungi, zones of inhibition of fungal growth were found in the regions surrounding colonies of the Bacillus bacteria. In various embodiments, the present invention provides for the novel Bacillus bacterium, which has been purified and isolated from other organisms; for compositions comprising the antifungal agent produced by said Bacillus bacterium; and for methods of inhibiting fungal growth comprising exposing a fungus to an effective concentration of the antifungal agent.