Avita Medical acquires California plant producing its burn treatment device

Avita Medical is acquiring a California manufacturing facility where the company produces its cell-harvesting device that can regenerate skin to help treat burn victims.

The 23,000-square-foot plant is located in Ventura, California, and is operated by Hartco Ventura, according to the San Fernando Valley Business Journal. Avita will take over production of the facility July 1, the company said.

Financial terms of the deal were not disclosed.

Avita, which has offices in Australia, the U.S. and the U.K., developed the ReCell Autologous Cell Harvesting single-use device that lets a medical professional to collect cells from a sample of the patient’s skin. The cells are then used to create a suspension that can be used in wound and burn treatment.

“Having direct control over the manufacturing of ReCell will ensure that we have the capacity to meet commercial demand, including the planned U.S. launch and the BARDA procurement, and provide us further control over our production processes and timelines,” Michael Perry, Avita’s CEO, said in a statement. “Acquiring this facility that has a track record of producing ReCell allows us to realize the benefits of in-house production while maintaining the continuity of proven manufacturing and quality processes and systems.”

The device, which is approved for use in Europe, Australia and China, is currently under PMA review by the FDA. Avita said it expects the review to be completed by the close of the third quarter this year, followed soon by its approval.

In 2015, the U.S. Biomedical Advanced Research and Development Authority (BARDA) doled out $16.9 million to support the development of ReCell for PMA approval. In 2017, BARDA added another $23.4 million for the development and extended its contract with Avita through 2022. Additional backers have provided financial support to ReCell’s development.