The integration of biosynthesis and product separation can increase the productivity of immobilized plant cells in airlift bioreactors. Extractive bioconversion of anthraquinones was studied in an external-loop airlift bioreactor consisting of a riser, a downcomer, and two horizontal sections, while containing alginate-immobilized Frangula alnus cells, a continuous aqueous phase (nutrient solution), dispersed solvent phase (n-hexadecane or silicone oil), and gas bubbles. A simple mathematical model was developed to describe the cocurrent liquid-liquid extraction in the riser section of the bioreactor and to rationalize the measured product concentrations in the aqueous and solvent phase. The model equations were solved analytically in a dimensionless form and used to study the effects of flow conditions, solvent properties, product formation rate, droplet size, and contractor length on the extraction efficiency and product concentration profiles in the continuous and dispersed phase.