Telix announces acquisition of ARTMS, Inc.

Telix Pharmaceuticals Limited (ASX: $TLX) has entered into an agreement to acquire radioisotope production technology firm ARTMS Inc. (ARTMS), including its advanced cyclotron-based isotope production platform, manufacturing plant, and stockpile of ultra-pure rare metals required for consumable target production.

Executive commentary on the acquisition

Dr. Christian Behrenbruch, Managing Director and Group CEO of Telix, expressed the company's excitement about aligning ARTMS's technology with pharmaceutical development to transform the cost, market access, and utility of diagnostic and therapeutic radiopharmaceuticals. He highlighted the potential of cyclotron and accelerator-based isotope production to increase capacity and lower the cost of commercially important isotopes. Doug Gentilcore, Chief Executive Officer of ARTMS, emphasized the joint goal of ensuring key isotopes are available on demand and the opportunity to deliver therapeutic radionuclides at commercial scale through the partnership with Telix.

Summary of Telix's acquisition of ARTMS, Inc.

Telix's acquisition of ARTMS, Inc. is set to enhance the company's vertical integration of supply chain and manufacturing, providing greater control and security over its diagnostic isotopes. The acquisition aims to support the roll-out of Zircaix® (TLX250-CDx) kidney cancer imaging, enable large-scale production of 68Ga to support Illuccix lifecycle management, enhance supply chain reliability of diagnostic radionuclides, and develop 'next generation' cyclotron targets for therapeutic radionuclides. The deal terms include an upfront consideration, contingent future earn out payments, and cash earn-outs based on net sales of ARTMS products or Telix products prepared using ARTMS products. Telix plans to continue and expand ARTMS's R&D and production capabilities at the Burnaby location, expecting the acquisition to be financially accretive and have a positive impact on gross margins for Illuccix® and Zircaix®.