Thermo Fisher (NYSE:TMO) announced that the company has agreed to a deal to acquire privately-owned Brammer Bio in a deal that will cost about $1.7 billion with the goal of advancing the world of gene therapy.
The Waltham, Mass.-based company revealed that it will buy Brammer Bio, which is owned by private-equity firm Ampersand Capital Partners and provides pharmaceutical companies with gene therapies and gene-modified cell therapies, offering outsourced research, as well as drug development.
The goal of gene therapies is to replace defective genes with healthy ones, with researchers noting that they are useful as a potential treatment of intractable inherited diseases. However, paying for gene therapies is a concern for many as it is not the most affordable treatment out there, costing patients seven figures at times.
Brammer Bio is a company that was birthed in 2016 following the merger of Brammer Biopharmaceuticals and Florida Biologix, which used to belong to the University of Florida. The company’s bread and butter are viral vectors, which seeks to alter normal genes, as the latter are delivered through a vector.
Brammer raked up revenue of roughly $250 million this year, according to Thermo Fisher, which has amassed a market value of about $105 billion. The business sells equipment, chemicals, as well as other raw materials often used in pharmaceutical research.
TMO stock is up about 1.2% on Monday.