Thermo Fisher buys recombinant protein maker PeproTech for $1.85 billion

Thermo Fisher Scientific made another big move in life sciences at the end of 2021, paying $1.85 billion to buy the recombinant protein maker PeproTech. New Jersey–based PeproTech provides cytokines, growth factors, and related products used in cell culture and fermentation-based drug production. It will become part of Thermo Fisher’s biosciences business, where it will complement existing bioprocessing and cell culture offerings, Thermo Fisher CEO Marc N. Casper says in a statement. Thermo Fisher made several investments in its bioprocessing operations last year, including plant expansions in the US, England, Scotland, and Singapore. The PeproTech purchase also increases Thermo Fisher’s consumables portfolio, which accounted for 58% of its revenue in 2020. Puneet Souda, a stock analyst at SVB Leerink, says in a note to investors that Thermo Fisher is likely to make more acquisitions in the near future because the life sciences supply market is split among hundreds of small firms like PeproTech. Moreover, its strong presence in COVID-19 testing and vaccine production means Thermo Fisher has money on hand to invest.