Scinai Strengthens I&I and CDMO Business via Recipharm Israel Deal

Scinai Immunotherapeutics Ltd., a biopharmaceutical company developing inflammation and immunology (I&I) therapeutics and operating a growing CDMO business, announced that it 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.

The transactions significantly expand Scinai's manufacturing footprint, capabilities, and commercial positioning, strengthening its CDMO platform and creating a differentiated, end-to-end development and manufacturing offering spanning early development directly by Scinai and late-stage clinical and commercial supply by Recipharm. 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. 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.

Acquisition of Recipharm Israel Ltd.

Under the terms of the Share Purchase Agreement, Scinai has 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 (APIs) 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 transaction was structured such that Recipharm Israel was transferred with an appropriate working capital position at closing, consistent with maintaining operational continuity.

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.

"This transaction fundamentally strengthens Scinai's CDMO platform," said Amir Reichman, Chief Executive Officer of Scinai. "By combining our early-stage development strengths with Recipharm Israel's manufacturing capabilities and Recipharm's global footprint, we are creating a differentiated offering that supports clients from early development through commercialization. Importantly, the collaboration allows Scinai to participate in the long-term success of client programs while maintaining capital discipline and operational focus."

"Ensuring continuity for the Yavne site, its employees and its customers was a key priority for us, and we are pleased to pair that with a strategic collaboration with Scinai," said Greg Behar, Chief Executive Officer of Recipharm. "The agreement creates a clear pathway for programs to progress efficiently into Recipharm's global development and commercial manufacturing network."