Charles River Acquires Viral Vector Player For $350M - Charles River (NYSE:CRL)

Contract researcher Charles River Laboratories International Inc CRL will dole out $292.5 million for gene therapy CDMO Vigene Biosciences with the possibility for an additional $57.5 million in performance-based payments.
The deal will close by early Q3.
Vigene is expected to generate between $30 million and $35 million in 2021, and Charles River anticipates year-over-year growth of 25% by 2026.
With the addition of Vigene, the Charles River cell and gene therapy portfolio will expand each major CDMO platform: cell therapy, viral vector, and plasmid DNA production, said CEO James Foster.
Vigene has particular expertise in AAV production, as well as lentivirus. That range will complement Charles River’s current end-to-end, gene-modified cell therapy solution.
Viral vectors are key components used in many gene therapies and reinforce Charles River’s growing presence in the field after a spate of recent acquisitions.
In February, the company had acquired Cognate with capabilities in cellular immunotherapy, immuno-oncology, regenerative medicine, and advanced cell therapy therapeutics.
In January, Charles River bought antibody discovery company Distributed Bio for up to $104 million.
Price Action: CRL shares are down 1.74% at $323.37 during the market session on the last check Monday.