Booming Demand for Global Advanced Drug Delivery CDMO Market Set for Strong Double-Digit Growth by 2027

The Global Advanced Drug Delivery CDMO Market is expected to witness a healthy and a double-digit growth rate by 2027. Major advantages offered by advanced drug delivery systems such as targeted and controlled release of new molecules to sites, ease of use, no requirement for frequent dosing, growing demand for safer, more effective methods of administering drugs to patients, evolving landscape of drug molecules, favorable investment by private equity companies and investors are some of the key factors driving the demand for advanced drug delivery systems (ADDSs) and advanced drug delivery CDMOs.

Advantages provided by advanced drug delivery systems include targeted and controlled release of new molecules to sites, ease of use, no need for frequent dosing, growing demand for safer, more effective methods of administering drugs to patients, an evolving landscape of drug molecules, and favorable investment by private equity firms and investors.

Advanced drug delivery systems maximize the potential advantages for patients, methods are increasingly being employed for the targeted and regulated release of new compounds in tissues and cells.

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The Benefits of Advanced Drug Delivery Systems Drive the Advanced Drug Delivery CDMO Market

Advanced drug delivery systems have evolved as a simple and precise technique of delivering drugs to particular locations. These systems have various benefits over traditional methods, including targeted and regulated release of new molecules to locations, constant drug absorption, no need for frequent dosing, lower fluctuation in systemic drug concentrations, and lower levels of harmful metabolites. Advanced drug delivery systems improve drug performance and assist in delivering superior outcomes, which has resulted in growing demand for advanced drug delivery CDMOs.

“……Advanced drug delivery CDMOs will play a pivotal role in advancing the science of drug delivery. The advanced drug delivery technologies will make medicines that are easier to use, and require less frequent dosing, which in turn will enable patients to spend less time managing their disease…”

- Senior Scientist, Advanced Drug Delivery CDMO, U.S.

Investment in Advanced Drug Delivery CDMOs by Private Equity Companies and Investors Drives the Advanced Drug Delivery CDMO Market

Several private equity firms and investors have invested in Advanced Drug Delivery CDMOs, citing the attractive possibilities of the advanced drug delivery systems sector. For instance,

· In December 2022, EQT Future and ATHOS, alongside other co-investors, invested in SHL Medical, a leading provider of advanced drug delivery solutions

· In September 2021, ADQ, an Abu Dhabi-based holding company acquired Acino, a leader in advanced drug delivery systems. Through the investment, ADQ intends to develop an integrated pharma platform including advanced drug development, in-licensing, manufacturing, and commercialization capabilities in select growth-leading markets

Competitive Landscape Analysis of the Advanced Drug Delivery CDMO Market

Some of the key players operating in the market include Evonik Health Care, SHL Medical, Lubrizol Life Science, Acino International AG, Pharmathen, Phillips-Medisize (A Molex Company), among others.

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Organic and inorganic growth strategies used by players to get a foothold in the Advanced Drug Delivery CDMO market

To increase market share, players in this market are pursuing organic and inorganic development tactics such as purchasing similar businesses and going into mergers and partnerships. For instance,

· SHL Medical, a prominent provider of sophisticated medication delivery technologies, purchased LCA Automation, a Swiss innovative developer of automation solutions, in July 2023. SHL Medical’s purchase of LCA Automation is consistent with the company’s objective to meet the expanding market need for drug delivery systems, extend its worldwide footprint, and develop its vertical expertise globally.

The Advanced Drug Delivery CDMO Market is expected to gain traction in the coming years as a result of favorable investment by private equity firms and investors, increased patient population adoption of controlled-release drug delivery systems, and aggressive organic and inorganic growth strategies pursued by the players.

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