Ajinomoto To Acquire Forge Biologics for $554 M
Ajinomoto Co. has agreed to acquire Forge Biologics, an Ohio-based gene-therapy CDMO, for approximately $554 million.
The acquisition will be completed through Ajinomoto’s subsidiary, Ajinomoto North America Holdings, (ANH), and ANH has signed a definitive merger agreement. Following completion of the merger, Forge will become a wholly owned subsidiary of ANH.
Forge is a gene-therapy CDMO that has two capabilities in the gene-therapy manufacturing value chain, adeno-associated virus (AAV) and plasmid DNA manufacturing, with high-purity, high-yield AAV production technologies.
As part of its medium term growth strategy, announced in February this year (2023), Ajinomoto identified four strategic growth areas, including healthcare, using its “AminoScience” platform. Within the healthcare area, in addition to the steady growth of its existing amino-acid and small-molecule drugs CDMO businesses, Ajinomoto expects accelerated growth through the expansion of its oligonucleotide drugs, bio/pharmaceutical CDMO, regenerative medicine and antibody culture media, medical food businesses and more. Furthermore, from a medium- to long-term perspective, Ajinomoto has identified having a gene-therapy CDMO as one of its priority strategic businesses.
The acquisition is scheduled to be completed in December 2023, subject to general preconditions stipulated in the merger agreement, including receipt of a regulatory clearance in the United States.