
Taipei's Bora wants in on the CDMO game as report shows plenty of room for industry growth
Taipei’s Bora Pharmaceuticals has linked up with Taishin Healthcare to invest about $108 million into CDMOs and CROs in response to a booming business environment for both industries.
The two companies plan to enter the macromolecular, and cell and gene therapy manufacturing spaces, and strengthen competitiveness while bolstering Taiwan’s CDMO market. According to a report from Hartford, CT-based research group Global Information, the global CDMO market was valued at $160.1 billion in 2020 and could grow to as much as $242.64 billion by 2026. There are five CDMOs in the world that have revenue above $500 million, while 75% of the field takes in less than $50 million in revenue, the report says.
“In addition to industry giants that include Lonza, Catalent, WuXi Advanced Therapies, Minaris Regenerative Medicine, and others, there are specialty CDMOs serving the cell and gene therapy marketplace,” the report says. “For example, Fujifilm Cellular Dynamics opened a $21M cGMP production facility to support its internal cell therapeutics pipeline, as well as serve as a CDMO for iPS cell products.”
As a result, CEO Bobby Sheng and his team at Bora will lean into M&A to quickly scale up capacity. The company has completed three deals in the past 10 years, and plans to support companies with promising portfolios. The report from GII points to “enormous” M&A deals within the cell and gene therapy sector, such as Thermo Fisher Scientific’s acquisition of Brammer Bio for $1.7 billion, and Catalent’s grab of Paragon Bioservices for $1.2 billion and MaSTherCell for $315 million.
“In order to effectively allocate resources, international pharmaceutical makers have moved towards specialization over the past few years, resulting in CDMO services becoming a trend sweeping the global biotech pharmaceutical sector,” Sheng said in a statement.
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