CDMO Rentschler Biopharma is moving out of the cell and gene therapy space and putting more of its chips behind biologics.
The strategic shift means that the company will end operations at its Stevenage, U.K., site, which is devoted to cell and gene therapies.
The cell and gene therapy market has experienced “slower-than-expected growth” and demand hasn’t met Rentschler’s expectations, CEO Benedikt von Braunmühl explained in a company press release.
“Following a comprehensive strategic review, we are focusing our efforts on areas where we see the greatest demand and potential to create value sustainably,” Braunmühl said. “Biologics remain central to our operations, while we continue to evaluate other potential modalities, leveraging our expertise and long track record of delivering the exceptional quality and service our clients rely on.”
The affected employees at the Stevenage site will receive “resources and assistance," Rentschler said. The family-owned company employs 1,400 people across its three locations.
Last October, Rentschler divulged plans to upgrade its headquarters in Laupheim, Germany, with a 34,000-square-meter buffer media station. The financial details of the project weren’t disclosed at the time, but Rentschler called the expansion its “largest single investment to date.” The company said it expected construction to wrap up in 2028.
Beyond that expansion, Rentschler added a new production line at its site in Milford, Massachusetts, last year.