Cohance to invest $18M in NJ Bio, Aruka Bio to build out ADC strategy
What's the deal? Cohance LifesciencesDealroom has a profile for this one. Try Dealroom →, formerly Suven PharmaceuticalsDealroom has a profile for this one. Try Dealroom →, will invest $18 million to strengthen its antibody-drug conjugate (ADC) strategy. That includes $13 million in NJ BioDealroom has a profile for this one. Try Dealroom →, lifting CohanceDealroom has a profile for this one. Try Dealroom →'s common-equity ownership from 56% to 67.3%, and $5 million in Aruka BioDealroom has a profile for this one. Try Dealroom → for a 65% controlling stake.
What each firm does: NJ Bio runs contract research and manufacturing. Aruka Bio, a Princeton-based biotech, focuses on next-generation ADCs.
What's the endgame? The reorganisation aims to integrate NJ Bio's customer-facing services with Cohance's manufacturing to support end-to-end CRDMO development. The Aruka investment funds a buyout of existing shareholders and working capital, positioning it to pursue licensing and collaborations with pharmaceutical partners.
The terms: Both transactions will be funded through internal accruals. They follow a review of NJ Bio's performance since December 2024.
Why now? Completion is expected by the end of September 2026, subject to definitive agreements and customary closing conditions.
The signal: By moving from minority to majority stakes in both firms, Cohance is consolidating a full ADC pipeline — from research through manufacturing — under its control.
Read more: economictimes.indiatimes.com
Image credit: Generated with Gemini
