In a $110 million cash deal, Albany Molecular Research (AMRI) has acquired all the outstanding membership interests of the Albuquerque, NM-based CMO Oso Biopharmaceuticals Manufacturing (OsoBio). AMRI expects to complete the acquisition by the third quarter of 2014 and realize full-year run-rate synergies of around $3 million of EBITDA within the first year of closing.
OsoBio, which specializes in manufacturing injectable drug products including sterile liquid, suspension, and lyophilized formulations, will continue to operate independently within AMRI's Drug Product business unit. OsoBio's current president and CEO Milton Boyer will lead the OsoBio team and report to Steven Hagen, Ph.D., AMRI's svp, manufacturing and pharmaceuticals.
AMRI says the new acquisition will greatly expand its contract manufacturing capabilities to include commercial-scale sterile injectables. This acquisition comes a few months after the firm picked up Cedarburg Pharmaceuticals for $41 million in a deal aimed at broadening AMRI's custom and complex drug development services and products for both generic and branded biopharma customers.
"The acquisition of OsoBio is highly complementary to our finished dose manufacturing business, and is consistent with our strategy to be the preeminent supplier of custom and complex drug development services and products to the pharmaceutical industry," said AMRI's president and CEO William S. Marth in a statement.