Oxford Biomedica plc, a quality and innovation-led cell and gene therapy CDMO, has completed its previously announced acquisition of ABL Europe SAS from Institut Mérieux SA.
 
According to the company, the acquisition of ABL Europe, a pure-play European CDMO, strengthens Oxford Biomedica’s position as a leading cell and gene therapy CDMO.

Benefits of the Acquisition

This strategic move broadens the Company’s international development, manufacturing and testing presence, services and capacity by establishing a strong footprint within the European Union with facilities in Lyon and Strasbourg, France.
 
In addition, the acquisition increases Oxford Biomedica’s capacity in process and analytical development and early-stage manufacturing across Adenovirus, Lentiviral vectors, AAVs and with this acquisition, MVA and Vaccinia.

Terms of the Deal

Pursuant to the transaction terms, as previously disclosed, ABL Europe has been acquired for a consideration of €15 million ($16.3 million), (including the value of €10 million of pre-completion cash funding from Institut Mérieux in ABL Europe) in exchange for 3,149,374 new ordinary shares in the Company (representing 3.2 per cent of the Company’s enlarged issued share capital) which have been issued at a price of 407.4p. The shares have toay been admitted to the premium listing segment of the Official List of the Financial Conduct Authority and to trading on the main market for listed securities of London Stock Exchange plc.
 
In accordance with the terms of the transaction, Institut Mérieux intends to become a major shareholder in Oxford Biomedica and prior to today’s completion of the acquisition of ABL Europe had already built a stake of 3.3 per cent of the Company’s then issued share capital through purchases in the open market, with the intention of owning approximately 10.0 percent of the Company’s ordinary shares by the end of Q3 2024.
 
The Company confirms that there is no material change to the 2023 financial guidance provided at the Interim Results in September previously reaffirmed in the Business Update on December 7, 2023. The Company will in due course issue medium term financial guidance to include the impact of the acquisition.

Comments from Leadership

Dr. Frank Mathias, Chief Executive Officer of Oxford Biomedica, commented: “Welcoming ABL Europe into the OXB family is an important step to unlock our ability to serve more clients with existing and new technologies, expanding development capacity, and further broadening our geographical presence. We are also delighted to have Institut Mérieux as a long-term shareholder as we continue to solidify our position as a world leading pure-play quality and innovation-led global cell and gene therapy CDMO.”
 
Michel Baguenault, Chief Executive Officer of Institut Mérieux, said: “Institut Mérieux is delighted that ABL Europe is becoming part of OXB, a world leading cell and gene therapy CDMO. Our investment reflects our confidence in OXB’s potential to ensure ABL’s long-term development. This transaction opens up exciting growth opportunities for ABL Europe, that will significantly expand their offering to biopharma and biotech companies, and ultimately help more patients.”