Bristol Myers Squibb and Cellares Announce a $380M Worldwide Capacity Reservation and Supply Agreement for the Manufacture of CAR T Cell Therapies to Bring the Promise of Cell Therapy to More Patients, Faster

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Bristol Myers Squibb and Cellares have entered into a $380M worldwide capacity reservation and supply agreement for the manufacture of CAR T cell therapies. Cellares will provide its Cell Shuttle platform for Bristol Myers Squibb's clinical and commercial-scale manufacturing needs, enhancing agility, scalability, and turnaround time. This collaboration aims to bring the promise of cell therapies to more patients faster.

Financial Analyst

Bristol Myers Squibb's agreement with Cellares, valued at up to $380M, signals not just a considerable financial commitment but also a strategic investment in the company's manufacturing capabilities for CAR T cell therapies—a rapidly growing sector in oncology treatments. The deployment of the Cell Shuttle and Cell Q systems across multiple regions indicates an aggressive push to scale up operations and meet the burgeoning demand. This expansion is set to potentially enhance market share and accelerate revenue growth for Bristol Myers Squibb's portfolio of cell therapies. The upfront and milestone payments structure suggests a performance-based approach to the investment, which could incentivize efficiency and innovation in this technological partnership.

Biotechnology Analyst

The automation and high-throughput capabilities of the Cell Shuttle indicate a technological leap in the manufacturing process for CAR T cell therapies. This leap could translate to faster production times and lower costs per unit, potentially improving profit margins for Bristol Myers Squibb. Additionally, the aspect of improved scalability may help the company better manage the supply chain for these personalized treatments, which has traditionally been a bottleneck. By improving the manufacturing process, Bristol Myers Squibb could ultimately enhance the accessibility of these therapies for patients, while also streamlining regulatory compliance across different geographies—a important aspect for investors to monitor.

Healthcare Industry Analyst

This move by Bristol Myers Squibb to secure a partnership with Cellares reflects an industry trend towards investing in innovative manufacturing solutions to overcome the complex production challenges associated with cell therapies. As the demand for these advanced treatments grows, the company's ability to ensure a reliable supply could strengthen its competitive position in the market. While the initial investment is substantial, the long-term benefits of having a robust manufacturing network could lead to significant gains in market share and brand reputation within the biopharmaceutical sector. Investors should note the future potential of this strategic decision in a market that values rapid delivery and treatment efficacy.

Bristol Myers Squibb will utilize Cellares’ proprietary Cell Shuttle, a next-generation end-to-end, fully automated cell therapy manufacturing platform, for the clinical and commercial-scale manufacturing of select CAR T cell therapies

Cellares, the world’s first Integrated Development and Manufacturing Organization (IDMO), will allocate multiple Cell Shuttles and its fully automated, high-throughput Cell Q systems across its IDMO Smart Factories in the U.S., EU and Japan for Bristol Myers Squibb’s use

This agreement strengthens Bristol Myers Squibb’s existing global network of state-of-the-art cell therapy manufacturing facilities and provides increased agility, improved scalability and potential to improve turnaround time to support the company’s CAR T inline and pipeline assets

PRINCETON, N.J. & SOUTH SAN FRANCISCO, Calif.--(BUSINESS WIRE)-- Bristol Myers Squibb (NYSE: BMY) and Cellares, the first Integrated Development and Manufacturing Organization (IDMO) dedicated to clinical and industrial-scale cell therapy manufacturing, today announced a worldwide capacity reservation and supply agreement for the manufacture of CAR T cell therapies in a transaction valued up to $380M in upfront and milestone payments. As part of the agreement, Cellares will optimize, automate, and tech-transfer select Bristol Myers Squibb CAR T cell therapies onto its automated and high-throughput manufacturing platform, the Cell Shuttle™. Cellares will dedicate multiple Cell Shuttle and Cell Q™ systems with fully automated, high-throughput quality control for Bristol Myers Squibb’s exclusive use. The Cell Shuttles and Cell Qs will be deployed in Cellares’ Smart Factories in the U.S., EU, and Japan.

Manufacturing cell therapies is both operationally and technically complex. Because cell therapies are rapidly transforming the way many different diseases are treated, the demand for these treatments is increasing significantly. This collaboration enables Bristol Myers Squibb to expand its manufacturing capacity, meeting the growing demand for its diverse range of cell therapies through a platform that is scalable and has the potential to improve turnaround time, bringing the promise of cell therapies to more patients faster.

“The agreement with Cellares is our latest step forward in support of our comprehensive strategy to unlock the full potential of CAR T therapy to deliver transformative treatments to as many patients as possible, as quickly as possible,” said Lynelle B. Hoch, president, Cell Therapy Organization, Bristol Myers Squibb. “Our collaboration with Cellares strengthens our existing internal manufacturing capabilities for CAR T cell therapies by giving us access to the first end-to-end fully automated cell therapy manufacturing platform, to help ensure we meet the high demand for these differentiated treatments, now and in the future.”

This agreement expands upon the existing collaborations between Bristol Myers Squibb and Cellares. In August 2023, Bristol Myers Squibb participated in Cellares’ Series C financing to launch the first IDMO Smart Factory in an effort to meet the demand for cell therapies globally. That same month, Bristol Myers Squibb joined Cellares’ Technology Adoption Partnership (TAP) Program to evaluate the Cell Shuttle’s automated manufacturing capabilities.

“This agreement with Bristol Myers Squibb is aligned with our strategy of establishing a global network of high-throughput, automated Smart Factories to meet the growing and worldwide demand for cell therapies,” said Fabian Gerlinghaus, CEO and co-founder of Cellares. “We look forward to demonstrating how our innovative technology’s emphasis on standardization will accelerate commercial-scale manufacturing and worldwide deployment. Our collaboration with Bristol Myers Squibb and our collective expertise furthers our mission to accelerate access to life-saving cell therapies for patients globally."

About Bristol Myers Squibb

Bristol Myers Squibb is a global biopharmaceutical company whose mission is to discover, develop and deliver innovative medicines that help patients prevail over serious diseases. For more information about Bristol Myers Squibb, visit us at BMS.com or follow us on LinkedIn, Twitter, YouTube, Facebook, and Instagram. Learn more about the science behind cell therapy and ongoing research at Bristol Myers Squibb here.

About Cellares

Cellares is the first Integrated Development and Manufacturing Organization (IDMO) and takes an Industry 4.0 approach to mass manufacturing the living drugs of the 21st century. The company is both developing and operating integrated technologies for cell therapy manufacturing to accelerate access to life-saving cell therapies. The company’s Cell Shuttle integrates all the technologies required for the entire manufacturing process in a flexible and high-throughput platform that delivers true walk-away, end-to-end automation. Cell Shuttles will be deployed in Cellares’ Smart Factories around the world to meet total patient demand for cell therapies at global scale. Partnering with Cellares enables academics, biotechs, and pharma companies to accelerate drug development and scale out manufacturing, lower process failure rates, lower manufacturing costs, and meet global patient demand.

The company is headquartered in South San Francisco, California with its commercial-scale IDMO Smart Factory in Bridgewater, New Jersey. The company is backed by world-class investors and has raised over $355 million in financing.

For more information about Cellares, please visit cellares.com.

Bristol Myers Squibb Cautionary Statement Regarding Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 regarding, among other things, the research, development and commercialization of pharmaceutical products and the agreement with Cellares. All statements that are not statements of historical facts are, or may be deemed to be, forward-looking statements. Such forward-looking statements are based on current expectations and projections about our future financial results, goals, plans and objectives and involve inherent risks, assumptions and uncertainties, including internal or external factors that could delay, divert or change any of them in the next several years, that are difficult to predict, may be beyond our control and could cause our future financial results, goals, plans and objectives to differ materially from those expressed in, or implied by, the statements. These risks, assumptions, uncertainties and other factors include, among others, that the expected benefits of, and opportunities related to, the agreement with Cellares may not be realized by Bristol Myers Squibb or may take longer to realize than anticipated. No forward-looking statement can be guaranteed. Forward-looking statements in this press release should be evaluated together with the many risks and uncertainties that affect Bristol Myers Squibb’s business and market, particularly those identified in the cautionary statement and risk factors discussion in Bristol Myers Squibb’s Annual Report on Form 10-K for the year ended December 31, 2023, as updated by our subsequent Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and other filings with the Securities and Exchange Commission. The forward-looking statements included in this document are made only as of the date of this document and except as otherwise required by applicable law, Bristol Myers Squibb undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, changed circumstances or otherwise.

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View source version on businesswire.com: https://www.businesswire.com/news/home/20240419914793/en/

Bristol Myers Squibb

Media Inquiries:

media@bms.com

Investors:

investor.relations@bms.com

Cellares

Investors:

ir@cellares.com

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pr@cellares.com

Source: Bristol Myers Squibb

FAQ

What is the value of the worldwide capacity reservation and supply agreement between Bristol Myers Squibb and Cellares?

The agreement is valued up to $380M in upfront and milestone payments.

What manufacturing platform will Cellares provide to Bristol Myers Squibb for the CAR T cell therapies?

Cellares will utilize its Cell Shuttle platform, a fully automated and high-throughput manufacturing system.

Where will Cellares deploy the Cell Shuttle and Cell Q systems for Bristol Myers Squibb's use?

The Cell Shuttles and Cell Qs will be deployed in Cellares' Smart Factories in the U.S., EU, and Japan.

What is the goal of the collaboration between Bristol Myers Squibb and Cellares in terms of manufacturing cell therapies?

The collaboration aims to expand manufacturing capacity, meet growing demand, and improve turnaround time for diverse range of cell therapies.

How does the agreement with Cellares support Bristol Myers Squibb's strategy regarding CAR T therapy?

The agreement with Cellares supports Bristol Myers Squibb's strategy to unlock the full potential of CAR T therapy and deliver transformative treatments to more patients quickly.