3SBio Inc., a biotech company focused on oncology, nephrology and auto-immune diseases, shifts to high gear in its play for the North American market with the company’s purchase of the contract development and manufacturing unit of Therapure Biopharma.
Through its acquisition of the Mississauga, Ont.-based biologics manufacturer, 3SBio of Shenyang, China is boosting its manufacturing and technical capabilities while building up its connections with global biotechnology and pharmaceutical companies for potential partnerships.
“3SBio’s global expansion strategy is now on fast track,” Dr. Jing Lou, chairman of 3SBio, said in a press release issued on Wednesday. “…This is a key milestone of the global expansion strategy of our biologics manufacturing business, adding a high-quality asset and leadership team in Canada that will serve as a platform for growth.
The deal is being carried out through a venture established by 3SBio and CITIC Private Equity, a leading Chinese asset management firm.
He said the acquisition effectively integrates 3SBio’s mammalian cell culture capabilities and Therapure’s downstream purification and plasma source technologies.
The purchase combines the production capacity of the Chinese company’s recently acquired stakes in Sunshine Guojian Pharmaceutical and Sirton Pharmaceuticals SpA with Therapure’s operations.
“Over 340 biologics professionals in North America focusing on operations and management, market development, R&D, and manufacturing are expected to join 3SBio, which is a big step forward in our strategy to expand our talent pool and establish a global presence,” said Lou. “…We intend to accelerate the development and commercialization of innovative products toward our ultimate goal of benefiting patients around the world.”
3SBio will also get certain rights to Therapure’s plasma production and technology, according to the Canadian company.
Therapure’s CDMO business will continue to operate under the Therapure brand and be led by Therapure’s CEO Nick Green and the current senior management team at its manufacturing facilities located in Mississauga. Green is president and CEO of Therapure.
The Catalyst Capital Group Inc., a private investment equity firm, will retain ownership of and will support future investments in, Therapure’s plasma protein and therapeutic products business under a separate entity, ProductsCo.
The joint venture between 3SBio and CITICPE will contribute at least an additional C$20-25 million to ProductsCo under the terms of the agreement to be used for the construction of a new commercial facility.