Oxford BioMedica (LSE: OXB) has long been one of my favourite (and most interesting) FTSE 250 picks. The cell and gene therapy pioneer is paving the way for global accessibility to life-changing procedures to treat diseases like Parkinson’s.
The company operates on a contract development and manufacturing organisation (CDMO) strategy. It partners with pharmaceutical and biotech firms to provide end-to-end services for drug development and manufacturing.
Increased industry recognition coupled with significant US expansion helped it achieve 100% share price growth over the past six months.
So let’s take a look at why I believe it’s one of the most exciting companies in the UK right now.
US expansion
Earlier this year, Oxford BioMedica completed the acquisition of an FDA-approved viral vector manufacturing facility in North Carolina for $4.5m. The move drastically increases its US commercial-scale manufacturing capacity. It also improves service delivery for its North American client base, particularly in the high-growth adeno-associated virus (AAV) field.
The site contains multiple drug substance suites, a fill-finish suite and space ready for further expansion. Key functions are expected to be operational in Q1 2026. It also complements the businesses already well-established US network, with an existing Massachusetts site focused on early-stage development.
The acquisition helps cement the company’s commitment to above-market growth and EBITDA profitability from fiscal 2025 onwards. It expects a single-digit gain from the purchase in 2025, broadly offsetting any associated costs for the new facility. Notably, funding for the expansion was secured via a £60m share placement and a new $125m loan facility raised this year.
Groundbreaking technology
Despite being a relatively small and so-far unprofitable company, I believe Oxford BioMedica’s at the forefront of innovation in the UK. And don’t just take my word for it — it’s been officially recognised as a ‘Champion’ at the 2025 CDMO Leadership Awards Europe in the Cell & Gene Therapy category.
Winners of the prestigious awards are selected based on direct feedback from biopharma professionals evaluating quality, capabilities, expertise, and reliability. It validates the company’s vision to become a pure-play, innovation-led CDMO operating multiple sites across the UK, US and France.
What this means for investors
When it comes to new, developmental technology, the risks can’t be ignored. Oxford BioMedica posted a £43m loss in fiscal 2024 and has a trailing 12-month loss of £37m as of late 2025. To meet expectations, it would need to achieve an aggressive 68% average annual growth rate in the coming two years.
Any deviation below this growth trajectory could delay profitability significantly and hurt the share price. And with currently more debt than equity, the financial impact could be challenging.
Still, considering its wide moat, impressive £222m order book and successful acquisitions, I think it’s in a strong position to meet those targets. In H1 2025, it delivered a 44% year-on-year revenue increase to £73.2m, outpacing analyst expectations and reducing operating losses by 59%.
As such, I think its future holds significant promise, making it one of the most compelling growth stocks to consider on the FTSE 250.
