BRAIN Biotech AG gains full ownership of Biocatalysts Ltd and accelerates execution of its One-BioProducts Strategy
- BRAIN Biotech bought the two remaining minority stakes in Biocatalysts Ltd
- Transaction financed from existing cash and from new debt
- All industrial products businesses will now be merged under Biocatalysts’ leadership
24 May 2023, Zwingenberg (Germany) - BRAIN Biotech AG has bought the two remaining minority stakes in Biocatalysts Ltd, Wales. Biocatalysts is now fully owned by BRAIN Biotech AG, the parent company of the BRAIN Biotech Group, and will form the nucleus of the Group’s ambitious growth strategy to create a global multi-niche enzyme champion.
At this year's Capital Markets Day on February 27th, BRAIN Biotech announced its One-Bioproducts Strategy and the formation of the BioProducts division under the leadership of Biocatalysts. In the coming months, BRAIN Biotech's subsidiaries Breatec B.V., Biosun Biochemicals Inc. and WeissBioTech GmbH will be transferred to Biocatalysts in order to complete the organizational setup of the BioProducts segment.
Adriaan Moelker, CEO of BRAIN Biotech AG: "It is our stated target to double product revenues in the mid-term and to position BRAIN Biotech among the top 10 in the global enzyme market. We will continue to focus on multiple niche markets within the food and beverage, healthcare and environmental markets. These attractive segments represent addressable markets well above EUR 1 billion. Bundling the strength of our products business under one roof was a logical step. We are now aiming for strong organic growth and additional bolt-on acquisitions in the coming years.”
Michael Schneiders, CFO of BRAIN Biotech AG adds: "Owning 100% of Biocatalysts Ltd builds the prerequisite to concentrate all of our industrial production assets under one strong leadership team. I expect the BioProducts segment to be formed and operational from mid-summer of this calendar year. This will enable us to harvest revenue and cost synergies at an accelerated speed. We have set ambitious growth targets for BRAIN Biotech and, especially, for our products business which can now be executed within an efficient organizational structure. The two final minority stake purchases have been financed from existing Group cash reserves and from new debt at the level or our industrial businesses.”
About BRAIN Biotech
BRAIN Biotech AG is a leading European supplier of bio-based products and solutions such as enzymes and proteins, microbial production strains, natural compounds and biotechnological solutions for more sustainable industrial processes. The company focuses on the fields of nutrition, health and environment. - BRAIN Biotech AG is the parent company of the international BRAIN Biotech Group. The Group's business activities are divided into three segments: The BioProducts segment comprises the product business with specialty enzymes and other proteins, for which the Group operates fermentation facilities in the United Kingdom and production facilities in continental Europe and the United States. The BioScience segment offers research-intensive custom solutions based on enzyme technology, strain development, bioprocess development and natural product screening. The BioIncubator segment conducts its own R&D projects or those initiated with partners with high value-added potential. A particularly promising incubator project is the development of the Company's own CRISPR-based gene editing technology platform, which is currently being established and expanded by Akribion Genomics (in foundation planning). - Through its own R&D activities, BRAIN Biotech Group is continuously expanding its product portfolio in the field of specialty enzymes and small molecules. The latter are the starting point for screenings, e.g. for novel drug candidates for pharmaceutical applications. - BRAIN Biotech AG has been listed on the Prime Standard of the Frankfurt Stock Exchange since February 9, 2016 (ticker symbol: BNN; securities identification number: ISIN DE0005203947 / WKN 520394). The company employs approximately 330 people and generated revenues of EUR 49.5 million in the fiscal year 2021/22.
Disclaimer
This press release contains forward-looking statements. These statements reflect the current views, expectations, and assumptions of the management of BRAIN Biotech AG, and are based on information currently available to the management. - Forward-looking statements are no guarantees of future performance, and entail both known and unknown risks as well as uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. Numerous factors exist that could influence the future performance of and future developments at BRAIN Biotech AG and the BRAIN Biotech Group. Such factors include, but are not limited to, changes in the general economic and competitive environment, risks associated with capital markets, currency exchange rate fluctuations, changes in international and national laws and regulations, in particular with respect to tax laws and regulations, as well as other factors.
BRAIN Biotech AG does not undertake any obligation to update or revise any forward-looking statements.