NEW YORK – Wuxi AppTec said recently it is selling its cell and gene therapy manufacturing services unit to New York-headquartered Altaris.
Wuxi AppTec, which has locations in Shanghai and Philadelphia, said it expects the transaction to close in the first half of 2025, and that the sale will not affect contract research operations within the company's other units Wuxi Chemistry, Wuxi Biology, and Wuxi Testing.
The sale of Wuxi AppTec's advanced therapies unit comes as US lawmakers are trying to advance the Biosecure Act, aiming to ban federal funding for products manufactured or services provided by "foreign adversary biotech companies of concern," including BGI Group, its affiliate MGI Tech, and MGI subsidiary Complete Genomics, along with WuXi AppTec. According to the bill language, these firms are affiliated with China's People's Liberation Army, an allegation the companies named in the bill have denied.
Wuxi AppTec and Altaris did not disclose the financial details of their deal. JP Morgan is Wuixi AppTec's financial advisor, and Wilson Sonsini Goodrich & Rosati is its legal advisor in the transaction. Kirkland & Ellis is Altaris' legal advisor.