Thermo Fisher Scientific and Brammer Bio have entered into a definitive agreement under which Thermo Fisher will acquire Brammer Bio for approximately US$1.7 billion in cash.
Launched in 2016 through the merger of two companies, Brammer is deemed a top viral vector contract development and manufacturing organization (CDMO) for cell and gene therapy-focused biotechs. The company employs nearly 600 people based in Massachusetts and Florida in the US. The company is expected to post $250 million in revenue for 2019.
"Brammer Bio will be an exciting addition to our pharma services business and will further strengthen Thermo Fisher's leadership in serving pharma and biotech customers," said Marc N. Casper, President and CEO of Thermo Fisher Scientific.
Casper said gene therapy is an area of increasing focus for Thermo's customers and is fast-evolving given its potential to treat a range of genetic disorders.
"The combination of Brammer Bio's viral vector capabilities with our GMP production expertise and proprietary bioprocessing and cell culture technologies uniquely positions us to partner with our customers to drive the evolution of this incredibly fast-growing market. The transaction is perfectly aligned with our Mission to enable our customers to make the world healthier, cleaner and safer," he added.
The transaction, which is expected to be completed by the end of the second quarter of 2019.
Upon completion, Brammer Bio will become part of Thermo Fisher's pharma services business within its Laboratory Products and Services Segment.
Brammer Bio, co-founders Mark Bamforth and Dr Richard Snyder, commented: "Brammer Bio has executed more than 100 projects to supply first-in-human gene therapy clinical trials and establish commercial-ready processes, and we're excited to join Thermo Fisher to take our business to the next level."
The acquisition of Brammer follows on from Thermo's $150 million investment plan, which the company announced last week, and will see Thermo's Pharma Services business provide additional capacity for sterile liquid and lyophilised product development and commercial manufacturing.
Included in the site expansion projects are Monza and Ferentino, Italy, and Greenville, North Carolina. In response to customer requests, each of the sites will be equipped with aseptic filling lines and isolator technology. Construction is expected to be completed within the next 24 months.
"These investments will help expand our global sterile manufacturing network and meet the increasing demand from customers that rely on our biologics development and manufacturing expertise," said Michel Lagarde, president of pharma services for Thermo Fisher Scientific.