FLORHAM PARK, N.J. - Celularity Inc. (NASDAQ:CELU), a company specializing in regenerative and cellular medicine, has announced the acquisition of Rebound, a placental-derived allograft matrix, from Sequence LifeScience, Inc. This strategic move is expected to bolster the company's portfolio of biomaterial products, which has already seen sales surpass the previous year's total in just the first half of 2024.
Rebound is set to enrich Celularity's existing product lineup, which is aimed at wound care and soft tissue repair. The company's sales from its advanced biomaterials reached over $24 million through the first half of 2024, exceeding the full-year sales of 2023. Chairman, CEO, and founder of Celularity, Dr. Robert J. Hariri, anticipates that Rebound will contribute significantly to the company's revenue in the fourth quarter of 2024.
Celularity's focus on placental-derived biomaterials aligns with its vision to expand its offerings and maintain leadership in the field. The company's products are designed to leverage the unique properties of placental tissues to offer natural solutions that improve healing outcomes for patients.
The company's broader scope includes the development and commercialization of biomaterial products and placental-derived cell therapies, targeting aging-related diseases, cancer, and immune disorders. Celularity's approach utilizes mesenchymal-like adherent stromal cells, CAR T-cells, and natural killer cells derived from postpartum placenta.
This press release contains forward-looking statements regarding the expected impact of the Rebound acquisition on Celularity's sales and commercial performance. These statements are based on current expectations and involve risks and uncertainties, including the volatility of the stock market, challenges in biotechnological development, and the regulatory approval process, which may cause actual results to differ materially.
The information in this article is based on a press release statement from Celularity Inc.
In other recent news, Celularity Inc. has experienced significant shifts in its executive team and board of directors. The company announced the departure of its Chief Medical Officer, Adrian Kilcoyne, who is leaving to pursue other opportunities. The company has not yet named a successor for this key role. On the other hand, Celularity has welcomed Richard J. Berman, a veteran in venture capital and mergers and acquisitions, to its Board of Directors, a move expected to enhance the company's strategic direction.
In terms of financial matters, Celularity has received a formal notice from the Nasdaq Stock Market due to non-compliance with listing rules stemming from delayed financial reporting. The company has until September 6, 2024, to present a plan to regain compliance.
On the research front, the company's therapy platform, PT-CD16VS, has shown promising activity against various types of cancer, expanding on previous findings targeting HER2-positive cancers. These developments underscore the potential of Celularity's placental-derived cell therapy platform in addressing challenges associated with traditional cell therapies.
These recent developments reflect significant changes and advancements within Celularity, a company known for its work in life sciences and biotechnology.
InvestingPro Insights
Celularity Inc.'s recent acquisition of Rebound aligns with its growth strategy, but investors should consider some key financial metrics and insights from InvestingPro when evaluating the company's prospects.
According to InvestingPro data, Celularity's market capitalization stands at $59.6 million, reflecting its relatively small size in the biotech sector. The company has shown impressive revenue growth, with a 26.68% increase over the last twelve months as of Q4 2023, and a remarkable 193.34% quarterly revenue growth in Q4 2023. These figures support the company's claim of strong sales performance in its biomaterial products.
However, InvestingPro Tips highlight some challenges. Celularity is currently operating with a significant debt burden and is quickly burning through cash. This financial situation could impact the company's ability to fully capitalize on the Rebound acquisition and sustain its growth trajectory.
Despite the recent positive news, analysts anticipate a sales decline in the current year, according to another InvestingPro Tip. This projection contrasts with the company's optimistic outlook for Rebound's contribution to fourth-quarter revenue.
It's worth noting that Celularity's stock has shown a significant return over the last week, with a 15.57% price increase. This could indicate positive market sentiment following the Rebound acquisition announcement.
Investors seeking a more comprehensive analysis can access additional insights through InvestingPro, which offers 7 more tips for Celularity Inc.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.