Bachem (BANB) CMD 2024 summary

Strategic Vision and Market Dynamics

• Strategic vision focuses on capacity expansion and innovation to address surging demand, especially for GLP-1, diabetes, obesity, and cancer therapies.

• Building K project scope was significantly expanded, shifting to a simultaneous, large-scale facility to meet new market realities.

• Sisslerfeld greenfield site is planned as the next major manufacturing expansion, with a master plan in development and launch targeted for the end of the decade.

• Long-term contracts and strong customer commitments underpin growth, with a clear path to CHF 1 billion in sales by 2026.

• Positioned as a global CDMO with broad capabilities and a strong late-stage clinical pipeline.

Capacity Expansion and Innovation

• Building K construction is complete, with commissioning and qualification of unit A underway; commercial production is expected to start in late 2025, with further units following.

• Major investments in new large-scale manufacturing sites, including Building K and Sisslerfeld, to meet rising demand.

• Over 40 technology innovation projects are active, including green chemistry, continuous chromatography, and tag-assisted synthesis.

• Know-how transfer from peptides to oligonucleotides addresses future scale-up challenges.

• Shifted from gradual to rapid, large-scale capacity ramp-up, with significant pre-launch bookings for new facilities.

Innovation and Operational Excellence

• Process R&D and equipment innovation aim to increase yields, reduce environmental impact, and lower costs.

• Focus on mastering complexity to maximize reactor yields and operational excellence.

• Execution and operational excellence are emphasized as critical to meeting both short- and long-term goals.

• Sisslerfeld will leverage lessons from Building K, aiming for even larger scale and integration of advanced technologies.

• Evolving from a headquarter-satellite model to an integrated global GMP network.