PPF Biotech is the biotechnology division of PPF Group and eureKING is the first European healthcare SPAC dedicated to bioproduction. SCTbio is a full-service CDMO specializing in cell-based therapy and viral vectors.
The proposed transaction values SCTbio assets at circa EUR 19.5 million. The acquisition of SCTbio by eureKING will be transacted for a cash consideration of EUR 13.08 million for 67% SCTbio shares held by PPF Biotech, and the remaining PPF Biotech-held 33% SCTbio stake will be settled by newly issued shares of eureKING. After the completion SCTbio will be fully owned by eureKING.
The SCTbio transaction will complement eureKING’s ongoing proposed acquisition of Skyepharma Production SAS, a fully integrated bio-CDMO specialized in biologics. Both transactions will allow eureKING to extend its activities in the biomanufacturing sector.
Michael Kloss, Co-Founder and CEO of eureKING, commented: “This is a key transaction for eureKING’s vision of becoming a new European bio-CDMO leader and contributing to Europe’s ongoing critical need for sovereignty in the bio-manufacturing value chain. SCTbio is a highly regarded manufacturing partner in the business and has a facility with proven credibility among pharma and biotech companies built over the past decade. By acquiring SCTbio and combining it with Skyepharma, we intend to build a solid network of production capacity in Europe with global reach, based on cutting-edge clinical and industrial bioproduction capacity. Our momentum keeps us growing and we are eager to begin working with the talented professionals at SCTbio.”
Luděk Sojka, CEO of SCTbio, added: “We are delighted to enter into this agreement with eureKING. We were attracted by eureKING’s and Skyepharma’s expertise and proven track record in building and growing strong CDMOs. Together, we intend to combine our distinctive and complementary skills and capabilities to create the foundations for a CDMO network with industry credentials. Having a new, fully integrated bio-CDMO leader is the key to reinforcing the Europe’s strategic biomanufacturing capabilities.”
SCTbio will continue to provide cell & gene manufacturing and related services to SOTIO Biotech from PPF Group.
The transaction is expected to close during the last quarter of this year, subject to regulatory approval.