BRAIN Biotech AG, a leading provider of integrated solutions for the biologization of industry, has today at its fourth Capital Markets Day (CMD) informed investors about its future strategy. The company sees significant opportunities in the biotransformation of the economy and is well positioned to benefit from strong global sustainability initiatives in the areas of health, nutrition and the environment.
Creating an international multi-niche enzyme and food ingredients champion builds the core of BRAIN Biotech’s future growth strategy. The enzyme activities of the group will focus on food, beverage and healthcare. Nestled in strong scientific roots BRAIN Biotech services the megatrends for better and healthier foods, sustainable industrialization, minimizing pollutants from industrial processes as well as improving health.
Adriaan Moelker, CEO of BRAIN Biotech AG, says: "Over the last three years we have prepared the ground by structural changes to our company portfolio, technology additions, cultural change and people management. Now we have a solid base to build out our strategy of profitable growth with the aim to build an international multi-niche enzyme champion. BRAIN’s enzyme expertise starts with exceptional scientists and extends into application knowhow in multiple niches with the ability to manufacture in-house at large scale. We are a solutions provider of choice for our customers along the entire value chain. In addition, we will realize significant economic opportunities from our incubator pipeline. I am also happy to announce, that I have agreed with the supervisory board of BRAIN Biotech to extend my contract as a CEO for an additional three years. This will give me the opportunity to execute on our ambitious strategic plans jointly with the entire management team and the BRAIN Group employees.”
New Organizational Setup
With its 6M reporting BRAIN Biotech will move to a new three-pillar reporting structure. This will give shareholders an increased transparency and visibility to the operational development of the Group in the segments BioProducts, BioScience and BioIncubator. The BioScience segment represents the activities for bespoke customer solutions in contract research. The BioProducts segment bundles all product related activities of the Group for application-based fermentation and formulation with a focus on food and beverages. This includes the large scale fermentation capacities at subsidiary Biocatalysts. Rod Sears Black, currently MD of Biocatalysts Ltd., will also lead the Group´s combined BioProducts segment as a managing director. The BioIncubator contains BRAIN Biotech’s breakthrough discovery projects and the product pipeline to build the future in biotech, including Akribion Genomics.
Michael Schneiders, CFO of BRAIN Biotech AG, states: "During the last months we have worked hard to significantly reduce the complexity of our group structure. This will help to further increase synergy potential and reduce costs. Our new reporting structure offers improved transparency to all of our stakeholders, aligns the internal organization with external reporting and simplifies our equity story for new investors. In addition, with the new structure we will create increased flexibility in group financing and portfolio management. This goes hand in hand with our ambitious strategic and financial targets.”
Akribion Genomics: application development beyond BRAIN Biotech´s core activities
Akribion Genomics will increasingly focus on therapeutic applications, including applications in oncology. The mode of action of the nucleases selected for this purpose allows both the targeted cell enrichment and depletion by selective disruption. The increased focus of Akribion Genomics on therapeutic applications further supports BRAIN Biotech’s intention to spin-out this proprietary genome-editing technology into the separate legal entity. This will allow a better development of applications which go beyond the current core activities of BRAIN Group and to attract additional funding for accelerated growth. BRAIN Biotech will continue to employ its so-called Gediting platform for the benefit of Group customers also in industrial applications.
Upgraded new ambitious midterm targets
BRAIN Biotech has announced ambitious new midterm targets. Excluding the activities of Akribion Genomics the Group aims to roughly double group sales to € 100 million by strong organic growth and selected bolt-on acquisitions. The adjusted EBITDA margin is aimed at 15% (+/- 5PP). The previous mid-term growth guidance is now incorporated in the new target as an intermediate step.
Presentations on the CMD 2023 will be found on the BRAIN Biotech website: