Large Molecule API Sector Becomes Increasingly Crowded as Peregrine Changes Focus
Competition within the 2,000-5,000 L biomanufacturing segment is set to intensify as Peregrine Pharmaceuticals (Tustin, Calif., USA) announced its transition to a dedicated CDMO from an excess capacity player.
The company announced the move during the company’s quarterly conference call. Subsequently, Mark Bamforth, currently Brammer Bio (Lexington, Mass., USA) CEO and president, was appointed to the company’s board of directors. This followed appointment of Roger Lias, an experienced executive, as the new head of its CDMO division, Avid Bioservices (Tustin).
In reality, Peregrine is making virtue out of necessity as it readjusts after failure of its lead product bavituximab, which led to a 20% reduction in staff and the inevitable hit to the share price. The company has forecast flat revenues for fiscal 2018, with CMO revenues estimated to be around $50-$55 million, despite a bumper first quarter.
Avid Bioservices joins a roster of other CDMOs serving the clinical/early commercial biological segment.
This article is reprinted from the November issue of Bio/Pharmaceutical Outsourcing Report. For access to the full article and to learn more click here.