- Radio-pharmaceutical company Telix has a new division in Belgium after announcing the intent to purchase a decommissioned production facility
- The facility spans more than 37,350 square metres and features a vast set of equipment for nuclear and radioactive production
- Telix will be funding the purchase through an undisclosed amount of cash, but also nets outstanding decommission liabilities which could amount up to €5.2 million
- The company however asserted today the purchase will have no adverse impacts on financial standings for 2019 and 2020
Radiation-focused pharmaceutical company Telix will be packing its bags, announcing today the expansion to a production facility in Belgium.
The news comes from a purchase agreement with local medical company Eckert & Ziegler Strahlen.
Telix management said today it expects its future European manufacturing needs to be met from the site with ease.
In the Americas and Asia, the company has had established partnerships upholding its business, but now looks towards a stronger network in Europe.
“This is a big step forward for Telix, but it is a commercially necessary step given the company’s commercial trajectory over the next two years,” CEO Dr Christian Behrenbruch said.
The production facility spans over 35,000 square metres of land and 2350 square metres of building space. It boasts a laboratory and two cyclotron vaults — necessary for supporting the use of radioactive and nuclear energy.
An additional six vaults can be accommodated for as well.
“The site is unique in both the depth of the license and its operational fit with our entire product portfolio,” Dr Christian said.
Telix’s portfolio of pharmaceutical work is focused on delivering a payload of treatment to a cell, such as a cancer cell, through radioactive methods.
Today’s acquisition comes as a particularly important announcement for the company as it readies to launch new products in Europe over the next two years.
“We’d like to acknowledge the excellent support and advice from a multitude of Belgian regulatory, science & technology, and economic development agencies that have worked very closely with us to validate the business case for this transaction,” Dr Christian said.
The production facility also poses a great benefit for Telix, a “Class IIA licence” which allows for a broad range of diagnostic and therapeutic radiopharmaceuticals. According to Telix, the facility has one of the most extensive nuclear licences in Europe.
Telix will be funding the purchase through an undisclosed amount and will assume decommissioning liabilities surrounding the facility which are estimated upwards to €5.2 million.
Final purchasing of the facility will be subject to regulatory approvals from Belgium’s Federal Agency for Nuclear Control. Acquisition is slated for the first half of 2020 and is said to not affect Telix’s financial position.
The news published by Telix has not seen a warm welcome in the Australian share market however. The company’s shares opened at $1.38 this morning and have since dropped .02 cents — representing a 4.23 per cent downgrade.