Core Viewpoint - Sandoz has signed a non-binding term sheet with Evotec SE to potentially acquire Just–Evotec Biologics EU SAS for approximately USD 300 million, aiming to enhance its biosimilar capabilities and capitalize on the projected USD 300 billion biosimilar market over the next decade [2][3][9]. Company Strategy - The intended acquisition aligns with Sandoz's strategy to reinforce in-house biosimilar development and manufacturing capabilities, providing additional strategic flexibility [3][9]. - The acquisition will utilize the J.POD biologics development and manufacturing facility in Toulouse, France, which features advanced continuous manufacturing technology [2][5][9]. Partnership Background - Just-Evotec Biologics has been a strategic partner for Sandoz since 2023, supporting the expansion of Sandoz's biosimilar portfolio and development pipeline [4][6]. - The partnership includes access to JEB's highly-efficient drug substance development platform, which is crucial for Sandoz's integrated drug substance development and manufacturing network [6][8]. Operational Impact - Upon completion of the transaction, JEB employees will transfer to Sandoz, integrating their advanced manufacturing capabilities into the Sandoz Group [5]. - The acquisition is expected to enhance efficiency and cost-effectiveness through JEB's integrated continuous manufacturing platform [7][8]. Financial Context - Sandoz recorded net sales of USD 10.4 billion in 2024, indicating a strong financial position to support this strategic investment [11].