MacroGenics Inc. (NASDAQ: MGNX) announced it will sell its good manufacturing practice drug substance manufacturing operations to Bora Pharmaceuticals Co. Ltd. (OTCQX: BORAY) for $122.5 million upfront, according to a press release.

The transaction includes the transfer of MacroGenics' manufacturing site, contract development and manufacturing organization operations, and associated personnel to Bora. The deal encompasses both the Rockville, Maryland headquarters site, including an FDA-approved facility with 11,000 liters of total capacity, and a Frederick, Maryland warehouse.

Approximately 140 MacroGenics employees are expected to be hired by Bora as part of the transaction. MacroGenics will maintain a supply arrangement with Bora to support process development and drug substance production for its internal pipeline needs.

"This transaction supports that strategy by providing additional non-dilutive capital to accelerate our pipeline to key value inflection points in 2026 and beyond," said Eric Risser, President and Chief Executive Officer of MacroGenics.

Bobby Sheng, Chairman of the Bora Group, stated the acquisition represents "a key part of our strategy to expand Bora's North American biologics operation under Bora Biologics."

The transaction is expected to close in the third quarter of 2026, subject to customary closing conditions. Moelis & Company served as financial advisor and Sidley Austin as legal counsel to MacroGenics, while Jones Day served as legal counsel to Bora.

MacroGenics is a clinical-stage biopharmaceutical company focused on developing antibody-based therapeutics for cancer treatment. Bora Pharmaceuticals, founded in 2007, operates as a pharmaceutical services company with contract development and manufacturing organization and commercial operations.