Cytovance Biologics has closed on $22.5 million in growth capital from Greenwich, Conn.-based firm Great Point Partners. Cytovance, which is based in Oklahoma City, is a manufacturer of mammalian and microbial biologics for biotechnology and pharmaceutical customers. The new funding will help Cytovance to expand its manufacturing operations. As a result of the round, Great Point managing directors Jeffrey Jay and David Kroin, as well as senior vice president Noah Rhodes, will join Cytovance’s board.
Cytovance Biologics today announced a growth equity investment of $22.5 million from Great Point Partners, LLC, a Greenwich, Connecticut private investment firm focused on emerging opportunities in the health care and bio-technology categories. Headquartered in Oklahoma City, OK, Cytovance is a leading full service contract manufacturer (“CMO”) of mammalian and microbial biologics for biotechnology and pharmaceutical companies.
Cytovance specializes in the production of therapeutic proteins and monoclonal antibodies from mammalian and microbial cell cultures. The company’s business model is built around offering a comprehensive and collaborative approach to manufacturing biologics to add value by partnering with biopharmaceutical companies to advance their recombinant protein, antibody and cell-based therapeutic products from the laboratory bench, through clinical development and to commercial launch in domestic and international markets. In addition to their cGMP manufacturing services, Cytovance also offers process development, cGMP cell banking, in-house analytical development and testing and a full complement of client support services. A team of quality control and quality assurance professionals support the operations by ensuring compliance with contractual and global regulatory requirements.
The equity investment from Great Point Partners will enable Cytovance to meet growing client demand for clinical trial and commercial scale cGMP manufacturing by funding facility, service and personnel expansion at its advanced research and manufacturing operation in Oklahoma City. As part of the Great Point Partners financed expansion, Cytovance will move from 840 Research Parkway to 800 Research Parkway to occupy the state-of-the-art laboratories vacated by Genzyme in December 2010. In a separate transaction, Cytovance acquired analytical and bioprocess equipment formerly belonging to Genzyme to equip these expanded facilities.
“Great Point reached out to us last year. It was evident from our first conversation they were very knowledgeable about the biologics manufacturing space and recognized the potential growth opportunities for Cytovance with additional working capital. They share our existing partners’ optimism moving forward and will be a valuable addition to our organization in terms of their vision and understanding of our business, ” said Darren Head, CEO of Cytovance. “Great Point’s investment allows us to accelerate our next phase of growth.”
As part of their investment, Great Point Managing Directors Dr. Jeffrey R. Jay and David Kroin, and Senior Vice President Noah F. Rhodes, III will join Cytovance’s Board of Directors. “We welcome Great Point Partners and Presbyterian Health Foundation as new investors in Cytovance. This transaction marks a transition of the company from angel investors to professional investors. The transition is reflective of the company’s progress in the last couple of years due to the hard work of Darren and the entire team,” said Dr. William Canfield, Chairman of Cytovance. Dr. Canfield led a recapitalization and reorganization of Cytovance in 2005, which included fellow investors Aubrey K. McClendon and Tom L. Ward.
Dr. Jeffrey Jay of Great Point Partners stated, “Cytovance has established itself as one of the premier CMO’s in the biologics manufacturing space, and we are excited to partner with the strong management team they have already assembled.” Furthermore, he added, “Cytovance is a classic Great Point platform company – rapidly growing, recently profitable, well-managed and highly scalable.”
About Cytovance Biologics
Cytovance Biologics is a biopharmaceutical contract manufacturing company specializing in the production of therapeutic proteins and antibodies from both mammalian cell culture and microbial fermentation. In addition to its cGMP manufacturing services, the company offers process development, cGMP cell banking and support services from its Oklahoma City, Oklahoma facilities. The company’s approach couples considerable client-side experience with the technical and operational expertise. We place significant value on customer service through communication, collaboration and flexibility. Our customers receive unparalleled services that meet regulatory standards and facilitate efficient completion of clinical development. For more information on Cytovance, visit www.cytovance.com.
About Great Point Partners, LLC
Great Point Partners, LLC is a leading health care investment firm with approximately $400 million of equity capital under management. Great Point has provided growth equity, recapitalization and management buyout financing to more than 100 health care companies. Currently, the Firm manages capital in both public equity and private equity funds. Both the private and public funds invest across all sectors of the health care industry including biotechnology and life sciences, consumer health, generic drugs, health care services, information technology, insurance, medical devices, specialty pharmaceuticals, and workers compensation. You can find more about Great Point at www.gppfunds.com.