Strides Pharma Science biologics arm to divest Unit 3 multi modal facility to Syngene International for Rs 702 crore
Bengaluru: Stelis Biopharma Limited, an emerging biopharmaceutical Contract Development and Manufacturing Organization (CDMO) and the biologics arm of Strides Pharma Science Limited, has announced that it has entered into a binding term sheet with Syngene International Limited to divest its multi-modal manufacturing facility at Bommasandra Industrial Area, Bengaluru, India (Unit 3 facility).
Syngene shall acquire Unit 3 on a slump sale basis for a gross value of INR 7,020 million. Subject to closing adjustments, the consideration for the transaction will be settled in cash by Syngene.
The transaction has been approved independently by the respective Boards of Directors of Stelis and Syngene. The transaction is expected to close within 90 days, subject to customary conditions, including receiving required lender and regulatory approvals.
The facility, which was initially built to manufacture Covid 19 vaccines, is now being repurposed to manufacture monoclonal antibodies and Syngene will further invest up to INR 100 Crores (US$12Mn) to repurpose and revalidate the facility.
"Stelis will continue to expand its client base through global partnerships and the induction of new drug substance (DS) and drug product (DP) programs at its integrated drug substance and drug product flagship facility (Unit 2) in Bengaluru.Stelis will also have the Unit 1 facility, which is equipped for process and analytical development for small-scale early and late-stage development studies of drug substances and drug products, as well as initial technology transfer activities across various modalities. The Unit 2 flagship site is approved by the USFDA, EU-GMP, TGA, Australia, amongst several other regulators," the company stated.
The facility covers both drug substance and drug product with installed capacity of 10 bioreactors of 2000L along with associated infrastructure and utilities. The facility also includes 10 additional uninstalled bioreactors - providing the potential for future expansion - and two high speed fill-finish lines.
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