Scinai completes Recipharm Israel acquisition and reorganizes CDMO operations
Scinai acquired Recipharm Israel Ltd., added the Yavne cGMP manufacturing site to its CDMO platform, and entered a long-term commercial collaboration with Recipharm. The company later reorganized its CDMO activities into Scinai Biopharma Services and outlined a 2026 CDMO revenue target of about $5 million.
Scinai Immunotherapeutics Ltd. has acquired 100% of the shares of Recipharm Israel Ltd., which operates Recipharm's site in Yavne, Israel, and entered into a long-term strategic commercial collaboration with Recipharm. On April 6, 2026, the company completed a strategic reorganization creating a dedicated CDMO subsidiary, Scinai Biopharma Services Ltd., following the February 2026 acquisition of Recipharm Israel.
Under the terms of the Share Purchase Agreement, Scinai acquired Recipharm Israel Ltd., which operates a cGMP manufacturing site in Yavne, Israel, providing early chemistry development and small-scale manufacturing of active pharmaceutical ingredients for biopharmaceutical customers' clinical programs. The acquisition was structured as a share purchase to preserve full operational continuity, including employees, quality systems, regulatory approvals, customer contracts, and ongoing operations. The financial terms of the Share Purchase Agreement remain confidential.
Following closing, the Yavne site will continue to operate as part of Scinai's CDMO platform, complementing Scinai's existing Jerusalem-based capabilities in early-stage development, analytics, and clinical manufacturing. As a result of the acquisition and the collaboration agreement, Scinai's expanded capabilities will now cover recombinant proteins, small molecules, peptides, antibodies and oligonucleotides through a combination of internal capabilities and collaboration with Recipharm.
Concurrently with the acquisition, Scinai and Recipharm entered into a comprehensive Commercial Collaboration Agreement designed to support customer projects across the full development lifecycle. The collaboration framework provides that Scinai will serve as a preferred partner for early-stage development and clinical manufacturing projects within the Recipharm ecosystem; Recipharm will serve as one of Scinai's preferred partners for late-stage clinical and commercial manufacturing, subject to capacity and technical suitability; Scinai will have access to Recipharm's global manufacturing network, under predefined commercial terms; and the parties will mutually refer client projects and share economics as programs transition from early-stage development at Scinai to late-stage or commercial manufacturing at Recipharm.
As part of the collaboration, the parties agreed to establish a Master Quality Agreement and a Tech Transfer Framework Agreement, creating a pre-defined contractual basis for quality alignment, regulatory compliance, and efficient transfer of client programs across development stages. Under the collaboration agreement, development activities and tech transfer will be set up between the companies in a manner designed to facilitate an efficient and frictionless graduation of Scinai clients to Recipharm at the appropriate stage.
Following the previously announced acquisition of Recipharm Israel Ltd. in February 2026, which included a small-molecule drug development and manufacturing site in Yavne, the acquired entity was renamed Scinai Biopharma Services Ltd. As part of a corporate reorganization designed to consolidate CDMO activities, the company transferred all CDMO-related operations, including employees, infrastructure, manufacturing facilities, customer contracts and associated business activities, into this entity, establishing Scinai Biopharma Services Ltd. as the company's dedicated CDMO subsidiary. Scinai Biopharma Services now operates as a fully integrated, privately held CDMO platform, wholly owned by Scinai Immunotherapeutics.
The reorganization established a clear separation between Scinai Biopharma Services, described as a dedicated, execution-focused CDMO business, and Scinai Immunotherapeutics, described as a streamlined R&D organization focused on advancing innovative therapeutics. The CDMO platform combines Jerusalem biologics capabilities, Yavne small-molecule and API capacity, and a commercial collaboration with Recipharm that provides subcontracting access and referral-based royalties. The company outlined a target of approximately $5 million in CDMO revenues for 2026.
The acquisition of Recipharm's manufacturing capabilities in Israel expands Scinai's CDMO footprint in Israel and adds complementary capabilities to its existing Jerusalem site. Key expected benefits include expanded support for small-molecule programs alongside peptides and liposomes, enhanced handling of complex and hazardous materials, and access to operating infrastructure and equipment that strengthen Scinai's service breadth and potential client base.