Sandoz to acquire Just-Evotec Biologics from Evotec for $300M

Sandoz (SDZNY) announced that it has signed a non-binding term sheet with Evotec (EVO). This paves the way for Sandoz to potentially acquire 100% of the issued and outstanding equity interests of Just-Evotec Biologics EU SAS for an amount of around $300M, which owns the J.POD biologics development and manufacturing facility in Toulouse, France. Sandoz and Evotec SE will now work to negotiate details of the contracts and carry out the relevant works-council consultation processes, as well as the mandatory employee bid process in France. Closing the proposed transaction will be subject to finalizing the contracts and obtaining all necessary approvals. Further details of the terms cannot be shared at this stage and will only be disclosed after successful signing of the contracts. The proposed acquisition would complement previously announced investments in Sandoz biosimilar manufacturing and development sites. The planned investment would be in line with existing Sandoz capital-expenditure commitments related to Sandoz operations in Europe. Upon completion of the proposed transaction, JEB employees would transfer with the acquired entity and would become part of the Sandoz Group. JEB brings an advanced and integrated continuous manufacturing platform with automation that enables manufacturing to run continuously end-to-end.