Private Equity
Andrea Alms Video: Money In Motion 94 - Contract Development & Manufacturing Organization (CDMO) Market
February 2024 - Private Equity
TRANSCRIPT
Hello, my name is Andrea Alms. I'm a technology investor and financial manager and this is your money i motion. I recently met a CDMO and it made me wonder who are they and what? How do they make their money? What is it? A drug substance becomes increasingly complex. Pharmaceutical companies are facing many challenges developing and manufacturing drug substances. More rapid innovation and production is needed to bring solutions to the market faster and keep expenses in check.
And even reducing cost is top of mind of many pharmaceutical companies. Contract manufacturing and development organizations. CDMO Contract manufacturing organizations See memos in contract research organizations. CDMOs are the center of today's life science global supply chain, dealing with dramatic increases in inventory demand, rapidly changing expectations for global drug manufacturing partners, increasing competition from startups looking to capture market share back from big corporations.
According to TMR, the global CDMO market was valued in 2023 at 225.58 billion. In 2024, it was 234.1 billion expected to grow at a compound average growth rate of 9.1%, forecasting the market to be 489.99 billion by 2032. At market start ups, the CDMO market is 161 billion in 2023 and expected to be 288 billion by 2032, growing at a corporate average growth rate of 6.9%.
At Grandview, the market size was estimated at 135.9 billion in 2022 and expected to grow at 6.1%. Averaging the averages, the market share is 216.5 billion at a 7.9% Compound average growth rate. Thank you. This is your money, your money, in motion.