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The information contained within this announcement is deemed by the Group to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 (as it forms part of domestic law by virtue of the European Union (Withdrawal) Act 2018). Upon the publication of this announcement via the Regulatory Information Service, this inside information is now considered to be in the public domain.
Oxford Biomedica announces strategic investment by Serum Life Sciences Ltd
Oxford, UK – 22 September, 2021: Oxford Biomedica plc (LSE:OXB) (“Oxford Biomedica” or “the Group”), a leading gene and cell therapy group, today announces that Serum Life Sciences Ltd (“SLS”), a subsidiary company of Serum Institute of India Pvt Ltd (“Serum Institute of India”), has agreed to invest just over £50 million in the Group in return for new ordinary shares representing 3.9% of the outstanding shares after the capital increase (the “Transaction”). The subscription price per new ordinary share to be paid by SLS is equal to the closing middle market price on Tuesday, 21 September 2021. For more information, see section “About the Transaction” below.
The proceeds of the Transaction will be used to fund the development of the fallow area at Oxbox, the Group’s 84,000 sq. ft manufacturing facility based in Oxford, UK, into a flexible advanced manufacturing space and the validation of several independent cGMP suites, expected to come online in mid-2023.
Oxbox was constructed by the Group during 2019 and the first phase of development, totalling 45,000 sq. ft., consisted of four GMP manufacturing suites, two fill and finish suites and supporting areas such as warehouse, cold chain facilities and QC laboratories. Three suites are currently dedicated to producing COVID-19 vaccine at 1000L scale and one suite is producing lentiviral vector-based products for the Group’s other partners. The remaining 39,000 sq. ft. will be developed using the proceeds of the Transaction to allow for flexible expansion and use. This is expected to include manufacturing capacity for viral vector-based products, including vaccines.
The investment from SLS, a company which was set up to market coronavirus disease vaccines manufactured by Serum Institute of India, will allow Oxford Biomedica to continue to expand the capacity of the Group’s world class facilities in anticipation of growing demand for the Group’s world leading capabilities.
John Dawson, Chief Executive Officer of Oxford Biomedica, said: “We are delighted that Serum Life Sciences Ltd, a subsidiary company of Serum Institute of India, has made this strategic investment into Oxford Biomedica. Serum Institute of India has played a big part in the fight against COVID-19, as have we, and we look forward to a strong and collaborative relationship. This investment will allow us to expand capacity at Oxbox at a time when our business development pipeline has never looked stronger, and in addition, we expect this will create up to 120 new, highly skilled, jobs. We look forward to maximising the many opportunities ahead, and to continuing to achieve our mission of delivering lifesaving therapies to patients, with the support and collaboration of Serum Life Sciences Ltd.”
Adar Poonawalla, Chief Executive Officer of Serum Institute of India, added: “Serum Life Sciences is delighted to have a strategic partnership with Oxford Biomedica, with the objective of building long term capacity in the UK.”
About the Transaction
Under the Subscription Agreement entered into by SLS and Oxford Biomedica in relation to the Transaction, SLS has agreed to subscribe for 3,382,950 new ordinary shares of 50 pence each in Oxford Biomedica (the “Subscription Shares”) at a price of £14.78 per share, amounting to an investment of £50,000,001 (gross).
The Subscription Shares are to be issued on a non pre-emptive basis utilising the authority granted at the Group's 2021 AGM which allows Oxford Biomedica to issue ordinary shares free of pre-emption rights for the purposes of an acquisition or specified capital investment. Applications will be made for the Subscription Shares to be admitted to the premium listing segment of the Official List of the Financial Conduct Authority and to be admitted to trading on the main market for listed securities of the London Stock Exchange plc (together, "Admission"). Admission of the Subscription Shares and completion of the Transaction is expected to take place at 8.00 a.m. on 27 September 2021.
Oxford Biomedica plc: T: +44 (0)1865 783 000 / E: email@example.com
John Dawson, Chief Executive Officer
Stuart Paynter, Chief Financial Officer
Catherine Isted, Head of Corporate Development & IR
Sophia Bolhassan, Director of IR
Consilium Strategic Communications: T: +44 (0)20 3709 5700
Mary-Jane Elliott / Matthew Neal
About Serum Life Sciences Ltd and Serum Institute of India PVT Ltd
Serum Life Sciences Ltd is a subsidiary company of Serum Institute of India Pvt Ltd. Its global sales office in London will market COVID-19 vaccines manufactured by Serum Institute of India Pvt Ltd (“SII”).
SII is the world's largest vaccine manufacturer by number of doses produced and sold globally (more than 1.5 billion doses), supplying WHO accredited vaccines to as many as 170 countries. It was founded in 1966 with the aim of manufacturing lifesaving immunobiological drugs including vaccines worldwide. With a strong commitment to global health, the institute’s objective has been proliferated by bringing down the prices of newer vaccines such as such as Diphtheria, Tetanus, Pertussis, Hib, BCG, r-Hepatitis B, Measles, Mumps and Rubella vaccines. SII is credited with bringing world-class technology to India, through its state-of-the-art equipped multifunctional production facility in Manjri, Pune and its association with Zipline and government agencies to transform emergency medicine and critical care along with spearheading the race for vaccine development in the fight against the COVID-19 pandemic.
About Oxford Biomedica
Oxford Biomedica (LSE:OXB) is a leading, fully integrated, gene and cell therapy group focused on developing life changing treatments for serious diseases. Oxford Biomedica and its subsidiaries (the "Group") have built a sector leading lentiviral vector delivery platform (LentiVector®), which the Group leverages to develop in vivo and ex vivo products both in-house and with partners. The Group has created a valuable proprietary portfolio of gene and cell therapy product candidates in the areas of oncology, CNS disorders and liver diseases. The Group has also entered into a number of partnerships, including with Novartis, Bristol Myers Squibb, Sio Gene Therapies, Orchard Therapeutics, Santen, Beam Therapeutics and Boehringer Ingelheim, through which it has long-term economic interests in other potential gene and cell therapy products. Additionally, the Group has signed a 3-year master supply and development agreement with AstraZeneca for large-scale manufacturing of the adenoviral based COVID-19 vaccine candidate, AZD1222. Oxford Biomedica is based across several locations in Oxfordshire, UK and employs more than 740 people. Further information is available at www.oxb.com