Summary
- Thermo Fisher acquires gene therapy contract manufacturing development organization Brammer Bio for $1.7 billion in cash.
- Brammer Bio has experience in helping pharmaceutical companies in ex vivo and in vivo clinical trial development with the use of viral vectors.
- Brammer Bio is on track to deliver $250 million in revenue in 2019, which should provide a nice boost for Thermo's pharma services business unit growth in the coming years.
- The FDA has needed to expand clinical reviewers to handle the incoming 200+ IND gene therapy applications expected by 2020 as this space continues to grow at an alarming rate.
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Thermo Fisher Scientific Inc. (TMO) made a bold strategic move to acquire a gene therapy manufacturer known as Brammer Bio. This was done to get some type of position into the ever-growing gene therapy space. The sector is starting to expand with additional new biotechs seeking to explore the treatment of gene therapies against rare diseases. It is expected that the FDA will need to hire additional personnel to handle all the new developments being sought out for in this space. The takeaway is that Thermo Fisher's latest acquisition will only serve to boost revenue growth over time.
