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Transcenta sells CDMO assets to WuXi Bio to focus on drug pipeline

Transcenta sells CDMO assets to WuXi Bio to focus on drug pipeline

Transcenta Holding Limited (HKEX: 6628) has agreed to sell its Hangzhou contract development and manufacturing organization assets to WuXi Biologics (Cayman) Inc. (HKEX: 2269) for RMB 190.0 million (approximately USD 26.2 million), as the clinical-stage biopharmaceutical company exits physical manufacturing to concentrate resources on its drug pipeline and proprietary bioprocessing technology licensing.

The asset purchase agreement, signed August 6, 2026 between Transcenta's wholly-owned subsidiary HJB (Hangzhou) Co., Ltd. and WuXi Biologics (Hangzhou) Co., Ltd., covers the GMP manufacturing plant at Qiantang New District, Hangzhou, including land use rights, building ownership, all facilities and equipment, associated business contracts, and designated employees. Intellectual property — including Transcenta's Highly Intensified Continuous Bioprocessing (HiCB) platform and ExcelPro CHO cell culture media — is explicitly excluded from the disposal. The RMB 190.0 million consideration was set at a modest discount to an independent appraised value of RMB 198.8 million as of May 31, 2026, reflecting estimated equipment depreciation between the valuation date and expected completion. Payment is structured in four tranches: 50% upon shareholder approval, 15% at Phase I completion, 20% at Phase II completion, and a final 15% within six months of Phase II completion, with adjustment mechanisms tied to asset condition and regulatory filing status. The transaction requires Transcenta shareholder approval at an extraordinary general meeting, with a circular expected on or before August 25, 2026, and a longstop date of December 31, 2026.

Transcenta said the disposal will provide near-term cash inflow without equity dilution and is expected to materially improve the group's going-concern position for fiscal 2026. As of December 31, 2025, more than half of Transcenta's employees were employed in connection with the CDMO assets, and the company reported a 28% reduction in labor expenses and 24% reduction in operating expenses on a cash basis for the six months ended June 30, 2026 versus the prior-year period. A July 2026 update disclosed that Transcenta had been actively evaluating options to optimize its manufacturing cost structure while retaining drug-program intellectual property. The company said it will retain partial in-house chemistry, manufacturing, and controls capabilities to support continued pipeline development, and will engage third-party CDMOs for additional manufacturing needs.

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Transcenta retains full rights to the HiCB continuous bioprocessing platform, which it has been licensing on a non-exclusive, royalty-bearing basis. In May 2026, Transcenta reported receipt of a RMB 7 million milestone payment from its HiCB collaboration with Taiwan-based EirGenix Inc. (TWSE: 6589), with the technology being implemented for GMP production at EirGenix's facility. The company said proceeds from the CDMO asset disposal will be directed toward pipeline development, including advancing lead asset osemitamab (TST001), an anti-Claudin18.2 antibody, toward a global Phase III trial in gastric and gastroesophageal junction cancer.


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