- Extension of the Sartorius Stedim Biotech cell culture media business with a focus on media for gene therapeutics and vaccines

• Significant expansion of capacities for manufacturing dry powder and liquid media

Xell AG develops, produces, and markets media and feed supplements for cell cultures, especially for manufacturing viral vectors that are used in gene therapeutics and vaccines. Beyond these media, the company offers various analytical services for characterizing, screening and quantifying media components, as well as for optimizing media composition.

Xell AG has so far been privately owned, employs around 35 people, and is expected to generate sales revenue of approximately 5 million euros at strong growth rates and a substantial two-digit EBITDA margin for the full year of 2021. Recently, a major state-of-the-art capacity expansion was completed at the company's headquarters. The contractual parties agreed on a purchase price of around 50 million euros in addition to two earn–out components contingent upon the achievement of defined revenue targets in 2022 to 2025.

"With this acquisition, we are expanding our current media offering specifically by specialized media for manufacturing viral vectors and, additionally, in the area of media analytics. At the same time, we are accelerating the expansion of our production network in this fast-growing area," said René Fáber, a member of the Sartorius Stedim Biotech Board of Directors. "I would like to cordially welcome the Xell team to Sartorius Stedim Biotech and am looking forward to our collaboration in this demanding time."

"Sartorius Stedim Biotech, with its strong sales team and complementary product portfolio, offers an excellent platform for further expansion, and we are extremely excited about our joint future development," added Stefan Northoff, CEO of Xell AG.

This press release contains forward-looking statements about the future development of the Sartorius Group. Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from those expressed or implied by such statements. Sartorius assumes no liability for updating such statements in light of new information or future events. This is a translation of the original German-language press release. Sartorius shall not assume any liability for the correctness of this translation. The original German press release is the legally binding version.