Asymchem Labs is buying Snapdragon Chemistry, a U.S.-based company focused on continuous manufacturing and early-stage chemical process development services, for $57.94 million.
The deal is part of the Chinese CDMO’s plans to expand its footprint in the U.S. and is expected to be finalized by the end of the second quarter this year, pending regulatory approvals.
Under the terms of the sale, Waltham, Massachusetts-based Snapdragon will operate as a separate division of Asymchem, and its executive team will remain intact. Snapdragon, which unveiled a 51,000-square-foot plant expansion in 2021, is expected to continue growing to support additional capacity for larger, pilot scale manufacturing.
"We believe continuous flow manufacturing is a revolutionary technology and represents the future of pharmaceutical production, not only generating advantages to process safety and cost, but also bringing tremendous environmental benefits," Hao Hong, Ph.D., Asychem’s chairman and chief executive, said in a statement. “Asymchem has been deeply committed to flow chemistry technology development and its application expansion in the pharmaceutical industry for more than a decade.”
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Asymchem began investing in Snapdragon in 2020 in a dual effort to support the expansion of its manufacturing suites and to increase its pharmaceutical and biotech client base.
Snapdragon was formed in 2014 as a spinoff from MIT and Boston University.