Dow to Acquire Collaborative BioAlliance, Contract Developer and Manufacturer of Biopharmaceuticals

25-Oct-2000

MIDLAND, Mich and Stony Brook, NY – October 20, 2000 — The Dow Chemical Company (Dow) and The Collaborative Group, Ltd., of Stony Brook, NY, announced today that Dow has signed a definitive agreement to purchase The Collaborative Group's biotechnology services Division, including all of the assets of Collaborative BioAlliance, Inc. (CBA) and Collaborative Smithfield Corp. Pending regulatory review and obtaining certain third-party consents, the acquisition is expected to close towards the end of November. The financial terms of the transaction are not being disclosed.

CBA, a contract developer and manufacturer of biopharmaceutical drugs, is a wholly owned subsidiary of The Collaborative Group, Ltd., a privately held corporation. The Collaborative Group has about 80 employees in its Biotechnology Services Division, located at its contract development operation in Stony Brook, New York, and at its production facility in Smithfield, Rhode Island. The acquisition is focused on growth and expansion of Dow's capabilities in industrial biotechnology (e.g. fermentation and bioprocessing), according to Carolyn Fritz, director of the Dow Industrial Biotechnology Business.

At close, this business will be fully integrated into Dow and will be part of the company's Industrial Biotechnology Business. The acquisition allows Dow to establish market presence providing contract process development and manufacturing services for a wide range of biopharmaceutical products. CBA's contract development and manufacturing operations are actively serving customers, including companies launching biological drugs.

According to Dr. James A. Hayward, Chairman, President & CEO, The Collaborative Group, "The contract services businesses in biotechnology are altering the course of drug development and growing at record rates. CBA's strategy emphasizes technical strength and provides more profitable, higher value-added services to the global biopharmaceutical community. The Collaborative Group will focus on its own bioscience platforms supporting continued development of our consumer products companies."

Dow will gain significant know-how in disciplines important for biopharmaceutical development and production in the employees who join Dow as part of the acquisition. "The expertise of these employees is the most important feature of this acquisition to us," Fritz said. Physical assets that will transfer to Dow at close include the 55,000-square-foot multi-product Smithfield cGMP biomanufacturing facility.

https://www.chemeurope.com/en/news/236/dow-to-acquire-collaborative-bioalliance-contract-developer-and-manufacturer-of-biopharmaceuticals.html