Emergent Biosolutions Inc. has recently finalized the sale of its drug product facility in Baltimore-Camden to Bora Pharmaceuticals Co., Ltd. The company received approximately $30 million at closing, subject to customary post-closing adjustments. With the transaction closed, Bora has acquired the assets, equipment, and workforce associated with the 87,000 square foot manufacturing facility.
Emergent's President and CEO, Joe Papa, emphasized that the sale marks a significant step forward in the company's multi-year plan, aimed at stabilizing, turning around, and transforming the organization. He also highlighted the company's focus on building a customer-focused, leaner, and more flexible organization, while executing a multi-year plan to improve overall profitability and raise capital to reduce debt.
In terms of financial advisory and legal counsel, Truist Securities served as the financial advisor, and Covington & Burling LLP served as legal counsel in connection with this transaction.
The sale of the Baltimore-Camden manufacturing site signifies a strategic move for Emergent Biosolutions, aligning with its mission to protect and enhance life. This development comes as the company continues to provide solutions for complex and urgent public health threats through a portfolio of vaccines and therapeutics, as well as integrated contract development and manufacturing services for pharmaceutical and biotechnology customers.
Following these announcements, the company's shares moved -20.3%, and are now trading at a price of $9.64. For the full picture, make sure to review Emergent BioSolutions's 8-K report.
