Business
ADMA Biologics Enters Into a Manufacturing and Supply Agreement to Produce and Sell Plasma-Derived Intermediate Fractions
Agreement is Expected to Add $5-10 Million in Annual Revenues for 2020 and 2021, and $10-20 Million Per Year for 2022 Through 2024 RAMSEY, N.J. and BOCA
About this update from Adma Biologics Inc
[{"type":"text","content":"Agreement is Expected to Add $5-10 Million in Annual Revenues for 2020 and 2021, and $10-20 Million Per Year for 2022 Through 2024\n RAMSEY, N.J. and BOCA RATON, Fla., Jan. 07, 2020 (GLOBE NEWSWIRE) -- ADMA Biologics, Inc. (NASDAQ: ADMA), a commercial biopharmaceutical company dedicated to manufacturing, marketing and developing specialty plasma-derived biologics for the treatment of immunodeficient patients at risk for infection and for the prevention of certain infectious diseases, today announced its entry into a 5-year manufacturing and supply agreement with an undisclosed partner to produce and sell plasma-derived intermediate fractions from ADMA’s U.S. Food and Drug Administration (FDA) approved Immune Globulin (IG) manufacturing process. “A core element of our business strategy is to leverage and maximize the revenue we generate from the available manufacturing capacity at our FDA-approved plasma-derived products production facility. Through the production of our own marketed assets, BIVIGAM®, ASCENIV™ and NABI-HB®, we will now be able to generate additional revenue over and above the sales of the FDA-approved drugs themselves,” said Adam Grossman, ADMA’s President and Chief Executive Officer. “Based on current production and forecasted market sales volumes, we estimate that these additional revenues from the sale of these fractions will add between $5 million and $10 million to our annual revenues for 2020 and 2021 respectively. Depending on future plant capacity utilization and potential expansion, as well as our forecasted IG production ramp, we believe this contract has the potential to generate between $10 million and $20 million per year from 2022 through 2024. We are proud to be an emerging partner of choice for plasma-derived intermediate fractions and we look forward to providing high quality products to this new partner and delivering the highest level of service and value to all of our customers to support our overall growth objectives.” Plasma contains many therapeutic proteins which control a number of processes and functions in the body. With ADMA’s FDA-approved manufacturing process, which the company uses to produce its three FDA-approved and marketed immune globulins, other non-IG proteins that are valuable for other functions in our bodies (also known as “fractions”) are removed. These fractions are used...