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Telix Pharmaceuticals (ASX:TLX) has acquired one of its service suppliers – IsoTherapeutics Group – in a deal worth more than A$20 million.
IsoTherapeutics, a commercial-stage entity, specializes in providing radiochemistry and bioconjugation development, along with contract manufacturing services to various players in the market, including Telix itself.
This acquisition bolsters Telix’s in-house development capabilities and expands its manufacturing presence in the United States. With a specific focus on bioconjugation and isotope processing, IsoTherapeutics adds valuable expertise and resources to Telix’s existing operations.
“In the IsoTherapeutics team, we have partnered with some of the leading
experts in radiochemistry and I am excited at what we can achieve together going forward,” Managing Director and Group CEO of Telix Dr Christian Behrenbruch said.
Telix’s acquisition of IsoTherapeutics signifies a strategic move to strengthen its position in the radiopharmaceutical sector.
The transaction’s terms include an upfront consideration of US$8.1 million (A$12.5 million), with a portion paid in equity through the issuance of Telix shares and the remainder in cash. A$7.6 million will be paid later – depending upon performance within twelve months. Furthermore, the agreement includes a two-year revenue-sharing arrangement based on IsoTherapeutics’ existing customer revenue.
TLX has been trading at $12.50.
