The acquisition of the contract development and manufacturing organization will allow Agilent Technologies to provide a one-stop source for gene-editing services for its customers.
Agilent Technologies on Monday announced that it will acquire Canadian contract development and manufacturing organization Biovectra to boost its capabilities in producing biologics and oligonucleotide therapies.
Under the acquisition agreement, Agilent will pay $925 million to buy Biovectra and its “state-of-the-art facilities” for the production and packaging of pharmaceutical ingredients, according to the announcement. The companies expect to complete the transaction before the end of the year and after clearing regulatory and antitrust clearances, as well as other customary closing conditions.
The acquisition will allow Agilent to expand its roster of services with Biovectra’s sterile fill-finish services, lipid nanoparticle formulations and DNA and RNA capabilities. Biovectra will also contribute its expertise in fast-growing segments such as antibody-drug conjugates and GLP-1 treatments.
Monday’s acquisition will also allow Agilent to combine its guide RNA capabilities with Biovectra’s biologics systems and provide its clients with a holistic source for gene-editing services.
“Biovectra’s manufacturing capabilities further expand Agilent’s end-to-end biopharma offerings into new growth vectors, including workflows that seamlessly integrate analytical instrumentation, consumables, and a wide range of lab services,” Agilent CEO Padraig McDonnell said in a statement.
The Biovectra acquisition comes after Agilent last month announced a series of layoffs affecting its locations in Sacramento, San Diego, Santa Barbara and Santa Clara counties. Around 180 employees will be laid off in August 2024, according to the WARN notice. Agilent also implemented a round of layoffs in January 2024 across various sites in California, affecting around 35 employees.
In December 2023, the company announced strategic changes to its organizational structure including subsuming its Cell Analysis Division under its Diagnostics and Genomics Group. Then-CEO Mike McMullen said that the structural change would allow Agilent to bring its cell services together “in ways that better align with how our customers are working.”
Agilent’s acquisition of Biovectra continues the recent trend of increased investment and deal-making activity in manufacturing. Last week, CordenPharma announced a $980 million commitment to boost its GLP-1 production capabilities in the U.S. and Europe.
Earlier this month, Samsung Biologics secured a historic $1 billion contract with an unnamed U.S.-based pharma company, though the details surrounding the deal were sparse. The contract is Samsung Bio’s largest ever.
