Life sciences services company Cryoport Inc. (CYRX), which provides temperature-controlled logistics solutions for the life sciences industry, has acquired F-Airgate. Belgium-based F-Airgate provides temperature-controlled supply chain solutions through its courier services.
The acquisition expands Cryoport’s global supply chain network in Europe, Africa, and the Middle East. F-Airgate will join Cryoport’s CRYOPDP business unit. Cryoport expects the acquisition to be accretive to its Fiscal 2021 earnings.
Cryoport CEO Jerrell Shelton said, “This acquisition will expand our coverage in Europe and enable us to provide end-to-end solutions to both global and local customers in Belgium, which is a highly strategic area for Pharma/BioPharma activity in Europe.” (See Cryoport stock analysis on TipRanks)
Shelton added, “With F-Airgate now operating as part of our growing CRYOPDP business unit, we are confident this acquisition will provide us with additional capacity in the EMEA (Europe, Middle East and Africa) region through F-Airgate’s on-the-ground headquarters, agent network and numerous partnerships with local logistics providers.”
Through the transaction, CRYOPDP will open its eleventh location in Europe and its first in Belgium.
On May 5, Needham analyst David Saxon reiterated a Buy rating on the stock and increased the price target to $77 (49.8% upside potential) from $73.
Saxon commented, “CYRX’s exposure to cell and gene therapies’ development and commercial distribution positions it well for potential durable revenue growth over the coming years.”
Consensus among analysts is that Cryoport is a Strong Buy based on 3 unanimous Buy ratings. The average analyst price target of $78.67 implies 53% upside potential.
Shares have gained about 96.9% over the past year.
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