Nektar Therapeutics, a global biotechnology company focused on the discovery and development of novel therapies to treat autoimmune disorders, has entered into a definitive agreement to sell its Huntsville, Alabama manufacturing facility and reagent supply business to Ampersand Capital Partners for a total of $90 million, comprised of $70 million in cash proceeds and $20 million in a retained equity position for Nektar in a newly-created Ampersand portfolio company.

The Huntsville site is a 124,000 square foot, commercial-scale specialised manufacturing facility which supports commercial supply chains for PEGylated therapeutics across global markets, with several commercial-scale supply chain contracts. Nektar and the new Ampersand portfolio company will will enter into manufacturing supply agreements to meet Nektar’s PEG reagent needs for rezpegaldesleukin and certain pipeline programmes, whilst Nektar’s employees at the Huntsville facility will be offered employment at the new portfolio company to ensure continuity in the manufacturing and PEGylation expertise.

The sale is not subject to financing contingencies. The transaction will be subject to customary closing conditions and costs and is expected to close by December 2, 2024. Following the closing, Nektar will retain all rights to current and future royalty streams and milestones related to existing PEGylated product license agreement.