CMC Biologics is a buying Xoma's ($XOMA) large-scale manufacturing facility in the Bay Area, giving the company a regional foothold in one of biotech's hotbeds.
The Seattle-based biologics CMO didn't disclose the terms of the deal, but it's getting a 31,000-square-foot biological manufacturing plant, with three bioreactors, two purification suites, and warehouse and office space.
"Establishing a facility in the Bay Area complements our existing facilities located in Bothell, WA, and in Copenhagen, Denmark, and supports our continued growth and addresses the growing demand of our customers for cGMP clinical and commercial production of biopharmaceuticals," CEO Claes Glassell said in a statement.
For Xoma, the sale follows a commitment to cut back on manufacturing and focus on drug discovery and development. In January, the company announced it would not renew its lease on the now-sold plant when it expires in 2013, instead pouring its funds into the development of gevokizumab, a monoclonal antibody treatment for inflammatory diseases.
Xoma's reorganization was music to CMC's ears, however, and the company is looking to get its new biologics plant up and running immediately.
- read CMC Biologics' release