Sisslerfeld Moves Forward, But at a Smaller Initial Scale

Research evidence excerpt

Sisslerfeld Moves Forward, But at a Smaller Initial Scale

Switzerland | Pharmaceutical Svcs.

Bachem Holding AG EquityJulyResearch21, 2026

FIRST VIEWSisslerfeld Moves Forward, But at a Smaller

RATING UNDERPERFORMInitial Scale

PRICE CHF70.25^

Conclusion

BANB this morning announced the next phase of its Sisslerfeld expansion PRICE TARGET | % TO PT CHF52.00 | -26%

through a "strategic collaboration agreement." The disclosed investment of 52W HIGH-LOW CHF83.25 - CHF48.52

CHF500m is notably below the c.CHF1bn previously associated with the FLOAT (%) | ADV MM (USD) 41.4% | 8.48

wider Sisslerfeld development. MARKET CAP CHF5.3B | $6.5B

TICKER BANB SW

JEFe a c.1:1 Capex-to-peak-sales ratio for peptide capacity expansion, ^Prior trading day's closing price unless otherwise

noted.

although we would expect this metric to be diluted, given the greenfield

nature of this project, potentially by 20%.

While the announcement may represent only the 1st phase of a broader

investment programme, it nevertheless suggests a moderation of earlier

expansion plans.

The collaboration incorporates customer prepayments and long-term

volume commitments; however, unlike the Building K agreements, no

contract value has been disclosed, potentially indicating the agreements

do not exceed the disclosure thresholds applicable to the Customer A and

Customer B contracts. Commercial production is still anticipated to begin

in FY30E.

Detail

Key Questions we have for 1H Results Next Week (30/07):

1. Should investors still think about c.CHF1bn of total Sisslerfeld investment, or has the

overall scope of the project been reduced?

2. Is management still comfortable with the historical rule-of-thumb of roughly 1:1 Capex-

to-peak-sales, or should investors expect lower asset productivity, given the greenfield