Xbrane Biopharma AB Completes Strategic Sale to Alvotech

In a significant move within the biotechnology sector, Xbrane Biopharma AB, a Stockholm-based biopharmaceutical company, has finalized the sale of its R&D organization and a promising biosimilar candidate to Cimzia® (certolizumab pegol) to Alvotech. This transaction marks a pivotal moment for Xbrane, as it shifts focus and resources in alignment with its strategic goals.

Details of the Transaction

The acquisition, announced on March 20, 2025, and approved by Xbrane’s Extraordinary General Meeting on April 14, 2025, was completed with a total purchase price of approximately SEK 275 million (US$28.9 million). The payment structure includes a cash payment of around SEK 102.2 million, the assumption of convertible debt amounting to approximately SEK 152.75 million, and the assumption of accounts payable related to the transaction.

Strategic Implications for Xbrane

This sale is a strategic decision for Xbrane Biopharma AB, allowing the company to streamline its operations and focus on its core competencies in the production of complex generics. By divesting its R&D organization and the biosimilar candidate, Xbrane is poised to enhance its market position and operational efficiency.

Impact on Alvotech

For Alvotech, a global leader in the development and manufacture of biosimilar medicines, this acquisition strengthens its portfolio and expands its R&D capabilities. The integration of Xbrane’s R&D organization and the biosimilar candidate to Cimzia® aligns with Alvotech’s mission to provide innovative biosimilar solutions to patients worldwide.

Market Reaction

The transaction has been met with positive reception in the market, reflecting confidence in both companies’ strategic directions. Xbrane Biopharma AB, listed on the Swedish Stock Exchange, has seen its share price close at 0.2368 SEK on June 1, 2025, with a 52-week high of 0.3335 SEK and a low of 0.1262 SEK. The company’s market capitalization stands at 383,660,000 SEK, with a price-to-earnings ratio of -2.35, indicating its current financial restructuring phase.

Conclusion

The completion of this transaction underscores the dynamic nature of the biotechnology industry, where strategic acquisitions and divestitures are key to fostering innovation and growth. As Xbrane Biopharma AB refocuses its efforts, and Alvotech expands its capabilities, both companies are well-positioned to navigate the evolving healthcare landscape.