Thermo Fisher (NYSE:TMO) said today that it will acquire gene and cell therapy manufacturer Brammer Bio for $1.7 billion in cash.
Brammer Bio is a viral vector contract developer and manufacturer of gene therapies and gene-modified cell therapies for biopharma customers. The Cambridge, Mass.-based business has nearly 600 employees at primary locations in Massachusetts and Alachua, Fla.
Brammer Bio is on track to deliver $250 million in revenue in 2019 and expects to continue to exceed the projected market growth rate of 25% over the mid-term, according to a prepared statement. Thermo Fisher (Waltham, Mass.) said it expects the business to be accretive to adjusted earnings per share by $0.10 in the first full year of ownership.
“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 Thermo Fisher president & CEO Marc Casper. “Gene therapy is an area of increasing focus for our customers and is fast-evolving, given its potential to treat a range of genetic disorders.”
“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,” added Brammer Bio president & CEO Mark Bamforth and chief scientific officer Dr. Richard Snyder. “Our teams share a commitment to helping our customers succeed in delivering cutting-edge therapies to patients in need.”
Thermo Fisher said it expects the transaction to be completed by the end of the second quarter of 2019. Brammer Bio will become part of Thermo Fisher’s pharma services business within its laboratory products and services segment.
Last October, Thermo Fisher acquired Becton Dickinson’s Advanced Bioprocessing business for $477 million. Thermo Fisher’s share price was up $3.17 or 1.2% to $267.09 on today’s news.
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