Oxford Biomedica delivers record first half results and announces £50M investment from life sciences group

Oxford Biomedica

Revenues have increased by a record 139 per cent to £81.3 million at Oxford Biomedica plc, the company revealed today. It has also announced that Serum Life Sciences Ltd, a subsidiary company of Serum Institute of India Pvt Ltd has agreed to invest just over £50 million in the Group.

The investment will be used to fund the development of the fallow area at Oxbox, the Group’s 84,000 sq. ft manufacturing facility based in Oxford, UK, into a flexible advanced manufacturing space and the validation of several independent cGMP suites, expected to come online in mid-2023. (cGMP refers to the Current Good Manufacturing Practice).

Oxbox was constructed by the Group during 2019 and the first phase of development, totalling 45,000 sq. ft., consisted of four GMP manufacturing suites, two fill and finish suites and supporting areas such as warehouse, cold chain facilities and QC laboratories. Three suites are currently dedicated to producing COVID-19 vaccine at 1000L scale and one suite is producing lentiviral vector-based products for the Group’s other partners. The remaining 39,000 sq. ft. will be developed using the proceeds of the Transaction to allow for flexible expansion and use. This is expected to include manufacturing capacity for viral vector-based products, including vaccines.

The leading gene and cell therapy group which has been manufacturing the AstraZeneca vaccine at its Oxford facility all this year, is continuing with its large-scale commercial, running three manufacturing suites at 1000L scale.

In May, the Group announced that AstraZeneca had committed to an increase in the number of batches required from Oxford Biomedica in the second half of the 2021. This resulted in the Group raising its expectation for cumulative revenues from the contract to be in excess of £100 million by the end of 2021.

In the period, the Group also agreed to purchase equipment provided to Oxford Biomedica by VMIC (Vaccines Manufacturing and Innovation Centre) for vaccine manufacture for £3.8 million, to enable longer term use.

John Dawson, Oxford Biomedica’s Chief Executive Officer, said: “Everyone at Oxford Biomedica can be truly proud of what they have continued to achieve in 2021. The tireless commitment of the whole team has helped to save thousands of lives, in line with our mission, whilst gaining global recognition for our role in the fight against COVID-19. The exceptional financial results that we have reported reflect our strong progress across the business as we continue to demonstrate our world leading expertise in gene and cell therapy. As we move from strength to strength, and with rapid growth in the cell and gene therapy market, we are in a great position to maximise on the opportunities ahead, both in lentiviral vectors as well as other viral vector types and look forward to the remainder of 2021 and beyond with considerable confidence.”

On the agreement with Serum, John added: “We are delighted that Serum Life Sciences Ltd, a subsidiary company of Serum Institute of India, has made this strategic investment into Oxford Biomedica. Serum Institute of India has played a big part in the fight against COVID-19, as have we, and we look forward to a strong and collaborative relationship. This investment will allow us to expand capacity at Oxbox at a time when our business development pipeline has never looked stronger, and in addition, we expect this will create up to 120 new, highly skilled, jobs. We look forward to maximising the many opportunities ahead, and to continuing to achieve our mission of delivering lifesaving therapies to patients, with the support and collaboration of Serum Life Sciences Ltd.”

Adar Poonawalla, Chief Executive Officer of Serum Institute of India, added: “Serum Life Sciences is delighted to have a strategic partnership with Oxford Biomedica, with the objective of building long term capacity in the UK.”