3SBio, a leading Chinese biopharmaceutical company, has entered into a Shareholder Agreement with CPE Funds, pursuant to which a Joint Venture (the "JV") shall be established. The Group and CPE Funds seek to position the JV as a global, comprehensive and biologics-focused contract development and manufacturing (CDMO) platform.
On September 1st, the JV entered into an Asset Purchase Agreement with Canada-based biologics manufacturer Therapure Biopharma Inc. to acquire its CDMO business, Therapure Biomanufacturing, for US$290 million. Further to the signing and in accordance with the terms of these two agreements, 3SBio will seek its shareholders' approval to complete the transactions contemplated thereunder.
Through this acquisition, the Group intends to enter the North American biopharmaceutical sector, an important milestone towards the Group's strategy of building a leading global biologics business. The acquisition enables the Group to significantly enhance its connections with global biotechnology and pharmaceutical companies, and potentially explore diverse strategic partnerships and license innovative products across the world. At the same time, the expansion in the Group's CDMO business is expected to optimize the utilization of its manufacturing assets, enhance its own technical capabilities and improve its financial profile.
Dr. Jing Lou, Chairman of 3SBio, commented on the acquisition: "This is a key milestone of the global expansion strategy of our biologics manufacturing business, adding a high quality asset and leadership team in Canada that will serve as a platform for growth. Over 340 biologics professionals in North America focusing on operations and management, market development, R&D and manufacturing are expected to join 3SBio, which is a big step forward in our strategy to expand our talent pool and establish global presence. The acquisition effectively integrates our mammalian cell culture capabilities and Therapure's downstream purification and plasma source technologies. The combination of Sunshine Guojian's 38,000-liter production capacity, Sirton's production and service capabilities and Therapure's competitive advantages will deliver enormous synergies in both operations and profitability. 3SBio's global expansion strategy is now on fast track. We intend to accelerate the development and commercialization of innovative products toward our ultimate goal of benefiting patients around the world."
3SBio is a leading Chinese biotechnology company with core competitive strengths in R&D and innovation, advanced manufacturing technologies, stringent quality control and strong market leadership. As part of its global expansion plans and with a view to evolving into a leading global biopharma company in China, since its acquisition of Sirton, a contract-based pharmaceutical manufacturer in Italy in 2014, 3SBio has continued to actively search for overseas targets with strong growth potential and complementary capabilities. Through strategic cooperation and acquisitions, 3SBio aims to enhance its global influence and strengthen its biologics manufacturing technologies while generating more value for its shareholders by fully leveraging its CDMO capabilities in the biopharma industry.
Founded in 2008, Therapure Biopharma Inc. is based in Ontario, Canada. It is strategically located 15 minutes away from the Toronto airport and enjoys proximity to North American biotechnology hubs in Boston, New Jersey and California. It provides an array of therapeutic protein development and manufacturing services, including technology transfer and process development, analytical development and testing, scale-up and cGMP manufacturing and aseptic fill/finish and lyophilization. Its production lines are established according to US, Canadian and EU biologics cGMP standards. The Group intends to retain Therapure's existing management team to manage integration, and lead the next phase of development of the CDMO business.
Commenting on the acquisition, Therapure's President and CEO Nick Green said: "This transaction is exciting for the future of Therapure. It will be a powerful enabler for further growth and expansion of both 3SBio and Therapure in high growth areas of the market through our combined capabilities. This will put us in a stronger position to lead, innovate and grow, and further support our current and future clients."
3sbio to buy canadian biomanufacturing business, therapure
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