The acquisition builds on a multi-year strategic collaboration between BioNTech and InstaDeep and is expected to add around 240 highly skilled professionals and a global network of research partners
BioNTech to acquire AI drug discovery start-up InstaDeep for £362m. (Credit: Gerd Altmann from Pixabay)
BioNTech has agreed to acquire InstaDeep, a UK-based technology company that offers artificial intelligence (AI) and machine learning (ML)-based solutions, for about £362m.
Under the terms of the agreement, the German biotechnology company will make an upfront payment totalling around £362m in cash, and issue shares in its common stock.
InstaDeep shareholders are eligible to receive additional payments of up to £200m in the form of performance-based future milestone payments.
The announcement follows BioNTech’s initial equity investment as part of InstaDeep’s Series B financing round, in January last year.
The acquisition is planned to be completed in the first half of 2023, subject to certain customary closing conditions and regulatory approvals.
Upon closing, InstaDeep will operate as a UK subsidiary of BioNTech and will lead the growing portfolio of AI and ML initiatives at BioNTech.
It will continue to serve its clients in diverse industries, such as the technology, transport & logistics, industrial, and financial services sectors, said BioNTech.
InstaDeep CEO and co-founder Karim Beguir said: “AI is progressing exponentially and our mission at InstaDeep has always been to make sure it benefits everyone.
“We are very excited to join forces and become one team with BioNTech, with whom we share the same culture of deep tech innovation and focus on positive human impact.
“Together, we envision building a world leader that combines biopharmaceutical research and AI with the aim to design next-generation immunotherapies that enhance medical care – thus, helping fight cancer and other diseases.”
The acquisition builds on a multi-year strategic collaboration between the two companies, announced in November 2020.
Under the collaboration, the companies established a joint AI Innovation Lab to apply AI and ML technology to develop novel therapies for different cancers and infectious diseases.
BioNTech said that the acquisition will strengthen its capabilities in AI-driven drug discovery and development of next-generation immunotherapies and vaccines.
It is expected to add around 240 highly skilled professionals to BioNTech’s workforce, including teams in AI, ML, bioengineering, data science, and software development.
The acquisition will help enhance its network of research collaborators and expand its footprint in the US, Europe, Africa and the Middle East, said the company.
BioNTech CEO and co-founder Ugur Sahin said: “Since the inception of BioNTech, we have focused on leveraging computational solutions to create personalized immunotherapies that can reach a wide patient population.
“The acquisition of InstaDeep allows us to incorporate the rapidly evolving AI capabilities of the digital world into our technologies, research, drug discovery, manufacturing, and deployment processes. Our aim is to make BioNTech a technology company where AI is seamlessly integrated into all aspects of our work.”