Cytovance Biologics anticipates continued expansion plans following acquisition by Hepalink USA
Hepalink USA, a manufacturer of biological API, announced on Aug. 24, 2015 that it has entered into a definitive agreement to acquire Cytovance Biologics, Inc., a biopharmaceutical contract development manufacturing (CDMO) company for $205.7 million in cash and contingent payments.
The addition of Cytovance Biologics to Hepalink USA Inc. and its parent company Shenzhen Hepalink Pharmaceutical Co., Ltd. adds a biologics CDMO to the company’s US portfolio, which includes Wisconsin-based Scientific Protein Laboratories LLC.
A statement announcing the acquisition reports that Hepalink's investment will accelerate Cytovance's expansion plans, which include the addition of 5000-L and 10000-L mammalian reactors, 1000-L and 5000-L microbial fermenters, and increased analytical, process development, process characterization capabilities.
Hepalink's wholly owned US subsidiary, Hepalink USA, will acquire 100% of the equity interest of Cytovance Biologics Inc. After the acquisition, Hepalink will hold 100% of the equity interest indirectly through Hepalink USA.
The transaction is expected to close in October. Cytovance Biologics Inc. will become a fully consolidated subsidiary of Hepalink USA Inc., and Cytovance management will remain in place, as will its 178 employees in the US, according to a press statement.