Ofichem has announced it has signed an agreement to acquire Kinentia Biosciences, a New York-based drug substance CDMO.
The purchase gives Ofichem an operational presence in the US, with Kinentia’s position in the US biotech market and its focus on early-stage development complementing Ofichem’s existing capabilities in Europe.
Following completion, Kinentia customers will be able to access the wider Ofichem Drug Substance network as their programmes progress, including process scale-up, regulatory support and GMP manufacturing at the firm's FDA-inspected Ter Apel facility in the Netherlands.
Ofichem said that it would use the acquisition as a basis for developing regional manufacturing options across the US and Europe, working more closely with its existing US customers and Kinentia’s biotechnology customer base.
It added that customers would have greater flexibility in where development and manufacturing activities take place — an increasingly relevant consideration as pharma companies review supply chain resilience, onshoring and regional manufacturing strategies.
The company also mentioned in its release that it intends to explore opportunities to establish US capabilities for controlled substances, subject to relevant licences and approvals, building on its existing expertise in highly regulated products.
Following completion, the Drug Substance business will operate across New York, Ter Apel (NL) and Uppsala (SE), with each site bringing different areas of expertise.
Dr Weite Oldenziel, CEO of the Ofichem Group, said: “The acquisition of Kinentia represents an important milestone in Ofichem’s continued development. It strengthens our presence in the United States and complements our established European development and manufacturing capabilities."
We are building one organisation with one knowledge base, able to support customers from the first development decisions through to commercial supply.
Alessia Cogotti, Managing Director of Ofichem's Drug Substance Business Unit, said: “Kinentia brings highly complementary capabilities and experience to our Drug Substance business and strengthens our position in the United States."
Its expertise in early-stage development, complex chemistry and complementary modalities broadens our scientific offering, while Ofichem’s existing GMP and commercial manufacturing capabilities allow us to support programmes as they progress towards commercialisation.
Keeping scientific and process knowledge within one accountable organisation provides greater continuity as programmes develop, reducing the risks associated with handovers between independent providers and creating a more connected path from early development through to commercial manufacturing.”
Dr Dave Fairfax, President and CEO of Kinentia, said: “For our team and our customers, the fit with Ofichem is strong. We share a commitment to quality, scientific expertise and long-term customer relationships."
Joining the group gives Kinentia access to a wider scientific network and a route into commercial manufacturing, while preserving the specialist approach that has shaped our business since 2007.
The transaction builds on Ofichem’s recent expansion of its European development and manufacturing network, as well as its brand consolidation earlier this year, which brought its six subsidiaries under one brand.
Completion of the Kinentia transaction remains subject to CFIUS approval and other customary closing conditions.
