Mesoblast and Lonza establish strategic global manufacturing alliance

30-Sep-2011 - Australia

Mesoblast Limited and Lonza Group announced that they have entered into a strategic alliance for clinical and long-term commercial production of Mesoblast’s off-the-shelf (allogeneic) adult stem cell products.

The alliance will provide Mesoblast with significant commercial advantages, including certainty of capacity to meet long-term global supply of its proprietary Mesenchymal Precursor Cell (MPC) products. Under the agreement:

  • Lonza will supply Mesoblast’s clinical and long-term commercial MPC product needs globally.
  • Mesoblast can trigger a process requiring Lonza to construct a purpose-built manufacturing facility exclusively for Mesoblast’s marketed products. In return, Mesoblast will purchase agreed quantities of marketed products from the facility.
  • Mesoblast can exercise its right to buy out this manufacturing facility at a pre-agreed purchase price two years after the facility receives regulatory approval.
  • Mesoblast will have exclusive access to Lonza’s Cell Therapy facilities in Singapore for the manufacture of allogeneic cell therapy products, subject to certain exceptions.
  • Lonza will utilize its proprietary intellectual property to facilitate reductions in Mesoblast’s manufacturing costs and help enable development of enhanced second generation products.

Mesoblast Chief Executive, Professor Silviu Itescu, said that having access to Lonza’s best of breed manufacturing capabilities will give Mesoblast significant commercial advantages globally. “It is in line with our growth strategy to deliver the highest quality and most effective cell therapy products worldwide,” he added.

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