Strategic Moves in Oncology, Construction, and EVs
Oncology Deals
Merck & Co. has recently acquired Modifi Biosciences, a spinout from Yale University, for an upfront payment of $30 million. This acquisition also includes the potential for additional payments that could exceed $1.3 billion, depending on the success of the company's developments. Modifi Biosciences, founded in 2021, specializes in direct DNA modification technologies aimed at developing cancer therapeutics. The company is particularly focused on addressing challenging cancers, including glioblastoma, a type of brain cancer. The acquisition aligns with Merck's strategy to enhance its oncology portfolio and invest in innovative cancer treatments.
Lonza is expanding its production capacity for Antibody Drug Conjugates (ADCs). They are building an 800 m² bioconjugation suite at their facility in Visp, Switzerland, to support the increasing demand for ADCs. Lonza's mission is encapsulated in their slogan, "Enable A Healthier World," reflecting their commitment to supporting healthcare customers throughout the commercialization process.
Construction Chemistry
Thermax Ltd. has acquired Buildtech Products India Pvt Ltd. for approximately ₹72 crore (around $ 8.5 million), enhancing its position in the construction chemicals market. This strategic move aims to support India's growing infrastructure needs with advanced chemical solutions. Buildtech, established in 1995, specializes in manufacturing admixtures and accelerators for significant projects like tunnels and railway installations. The acquisition of a 100% stake allows Thermax to expand its portfolio in a sector projected to grow from USD 3.76 billion to USD 5.17 billion by 2030, at a CAGR of 5.64%. Ashish Bhandari, MD & CEO of Thermax, emphasized the importance of construction chemicals and Buildtech's reputation in civil repairs and waterproofing. The acquisition reflects Thermax's commitment to addressing the evolving needs of India's infrastructure development. It is expected to be completed shortly, subject to standard adjustments. This entry into the construction chemicals market aligns with Thermax's vision to provide comprehensive energy and environmental solutions. Ultimately, the acquisition aims to leverage Buildtech's established market niche and expand Thermax's reach in this competitive industry.
EV Deals
GFCL EV Products Ltd, a subsidiary of Gujarat Fluorochemicals Limited, has successfully raised ₹1,000 crore (approximately $120 million) at an equity valuation of ₹25,000 crore (around $3 billion). This funding round was led by the promoters of the InoxGFL Group, along with several prominent investors, including family offices from major business groups. The capital raised will be utilized to expand GFCL EV's operations, particularly in the electric vehicle (EV) battery materials sector, as the company aims to scale its production capabilities. This move is part of a broader strategy to enhance its offerings in the EV and energy storage system markets.
Atul Greentech has signed a battery supply agreement with Exide Energy Solutions (EESL) for lithium-ion batteries. The agreement involves sourcing lithium-ion battery packs from EESL's facility in Prantij, Gujarat. Atul Greentech will also obtain battery cells from EESL's upcoming manufacturing site in Bangalore, Karnataka. The collaboration emphasizes India's commitment to self-reliance in battery manufacturing for electric vehicles. Atul Greentech specializes in developing and manufacturing electric vehicles aimed at last-mile mobility solutions.