Orgenesis expecting revenue to more than double in 2021 as it updates on growth strategy

Orgenesis Inc (NASDAQ:ORGS) (FRA:45O), the cell and gene therapies (CGTs) focused biotech, told investors it expects revenue to more than double in 2021, based on its existing contracts alone.  In a statement reporting its 2020 full year results, the company said it was seeing traction and growth across its therapeutic pipeline, technology and network activity.  READ: Orgenesis teams with Dong-a University Hospital in South Korea and Cure Therapeutics to utilize its Mobile Processing Units and Labs, or OMPULs It reported that for the year to end-December, revenue had nearly doubled to $7.7 million, compared to $3.9 million in 2019. "Over the past year, we have been hard at work building the foundation for our POCare platform, which we believe has the potential to unlock value across the cell and gene therapy industry," said Vered Caplan, CEO of Orgenesis in a statement. "Specifically, the historical centralized production model and resulting high costs of these therapies has inhibited uptake by payors and limited availability for patients." So far, Orgenesis has developed, purchased or in-licensed more than 30 therapies and continues to expand its pipeline through its partnership with the POCare centers, she noted. Caplan also highlighted that the group now had its first commercial product on the market in the US, KYSLECEL for pancreatitis, following the company's acquisition of Koligo Therapeutics last October. The company has also "invested heavily" in new point-of-care technologies that can be integrated into its new Orgenesis Mobile Processing Units and Labs (OMPULs), said the company boss. "These mobile systems can be deployed onsite at a hospital or medical institution, and can enable parallel processing of therapies at a reduced cost, without the logistical nightmares of a centralized production facility or the difficulty of building cleanrooms in the hospitals." On the network front, the company has established POCare development and service centers in the US, Belgium, Israel and South Korea, and ten joint venture agreements with regional partners that are financially committed to validate its therapies. "In partnership with them, we have set up a network of hospitals and other partners in a total of 14 countries to date and we expect to sign agreements with many more premier institutions in the coming weeks and months, added Caplan. Orgenesis' Point of Care platform is comprised of three enabling components - therapeutics, technology and network. Contact the author at giles@proactiveinvestors.com