Summary
- Market growth in the bioprocessing space is accelerating on the back of new biological drug applications.
- RGEN continues to snap up market share at a rapid pace via their filtration and chromatography segments.
- Product applications in the gene therapy and cell therapy arena could significantly expand their addressable market.
- Single-use technologies will be the key to future growth.
Overview
As I previously laid out in my article initiating coverage on Repligen (RGEN), they have carved a wide moat niche for themselves in the bioprocessing space thanks to excellent market positioning by the management team. Through organic innovation and bolt-on, tactical acquisitions, Repligen’s suite of upstream and downstream products now allow them to capture revenue at numerous points in the drug development process.
Biologic Market
The market for Repligen’s products continues to expand. The bioprocessing industry is valued around $9 billion ($1.6 billion addressable) with an expected long-term growth rate of 9%. Since I last wrote six months ago, 74 mAbs were approved with a pipeline of 350 in development. There are now 85 approved mAbs and 400 more in various phases of clinical trials. Furthermore, of those 85, more than 50% have gained approval since 2015, highlighting the momentum experienced by the industry at large.
