IHS Chemical Week


Pharma/fine chemicals roundup—8 July 2014

3:04 AM MDT | July 8, 2014 | By DEEPTI RAMESH

Medichem opens HPAPI plant in Malta

Active pharmaceutical ingredients (API) manufacturer Medichem (Barcelona, Spain) says it has opened a new high potency API (HPAPI) plant in the company's manufacturing site at Hal Far, Malta. “Our expansion into the field of HPAPIs will allow Medichem to offer a broader product portfolio to our customers. Currently, 25% of new drugs in development are highly potent, and we expect [that figure] to keep growing,” says Ervin Veszpremi, CEO of Medichem. With the new plant, the company aims to consolidate its presence in the generic pharmaceutical industry. The new HPAPI facility in Malta is equipped for the synthesis of HPAPIs from the early R&D phases, through process development, and to manufacturing, allowing Medichem to produce Class 4 HPAPIs. R&D activities and production are expected to begin in the second half of 2014.

Hospira completes acquisition of Orchid's API manufacturing and R&D facilities in India for $218 million

Hospira (Lake Forest, IL), the world's leading provider of injectable drugs and infusion technologies, announced on 4 July that it has completed the previously announced acquisition of an active pharmaceutical ingredient (API) manufacturing facility and an associated research and development (R&D) facility from Orchid Chemicals & Pharmaceuticals (Chennai, India), a leading Indian pharmaceuticals company, for about $218 million. The API manufacturing facility is located at Aurangabad, India and the associated R&D facility is located at Chennai. Plans for the acquisition were first announced in August 2012. The transaction between Hospira and Orchid has received all necessary regulatory and legal approvals, Hospira says. Post deal, Orchid retains its cephalosporin API business and facilities, and also certain non-antibiotic, non-sterile businesses and facilities it owns. Orchid will continue to supply Hospira with cephalosporin APIs. The API manufacturing facility at Aurangabad has capabilities for manufacturing sterile APIs and employs about 665 people including chemists, engineers and technicians. The associated R&D facility based at Chennai will be directed primarily to beta-lactam and other API development with about 110 scientific personnel.

AMRI completes acquisition of OsoBio

Albany Molecular Research Inc. (AMRI; Albany, NY) says that it has completed the previously announced acquisition of Oso Biopharmaceuticals Manufacturing (OsoBio; Albuquerque, NM). Total consideration paid was $110 million, which AMRI financed with cash on hand. OsoBio is a contract manufacturer of highly complex injectable drug products, including sterile liquid, suspension, and lyophilized formulations. OsoBio’s expertise in large-scale commercial production highly complements AMRI's early-stage drug product manufacturing capabilities. Customers will have access to a single source to address their sterile fill/finish needs from phase-one development to commercial supply, AMRI says.

Xellia expands into the US by acquiring manufacturing plant

Xellia Pharmaceuticals (Copenhagen), a leading producer of active pharma ingredients (APIs) and finished dosage forms, announced it has acquired Fresenius Kabi’s dedicated lyophilized (freeze-dried) vial manufacturing facility at Raleigh, NC. The deal includes a continuous manufacturing and supply agreement with Fresenius Kabi's US arm. Financial details have not been disclosed.

Aesica appoints new business development manager

Aesica (Newcastle, UK) says it has appointed Nadine Reuter to the position of business development manager/finished dose with responsibility for assisting in the drive to expand revenues from contract manufacturing activities across Austria, Germany, and Switzerland. She will be based in Germany. Prior to joining Aesica, Reuter worked in Germany as head of sales and business development/life sciences, at Esau & Hueber. “We already enjoy significant business and client servicing, carried out from our German sites, located in Zwickau and Monheim, and look forward to utilizing Nadine’s sales expertise and knowledge in formulation development, finished dose manufacture and packaging, to help drive new business from existing and new customers located in the countries concerned,” says Ian Muir, managing director/finished dose at Aesica.

Beyond IHS Chemical Week:

Indian pharmaceutical industry asks government to incentivize innovation
From the Mint

Indian Pharmaceutical Alliance (IPA), which represents large domestic drug makers, asked the government to make provisions in the upcoming budget and lay down a policy framework that would incentivize innovation in the industry, which is known for its copycat drugs. IPA has asked the government to set up a simplified scheme of grants and soft loans to promote drug discovery in the private sector. “The whole procedure is so cumbersome that it doesn’t naturally encourage people to take that kind of bets,” says Satish Reddy, chairman and managing director of Dr. Reddy’s Laboratories Ltd and president of IPA. Reddy also expressed his concern at the Indian industry’s heavy dependence on Chinese active pharmaceutical ingredient or bulk drug imports. A large number of cheap APIs, including those of 15-20 drugs such as antibiotic penicillin and anti-diabetic drug metformin—listed under the National Essential List of Medicines—are imported from China. Reddy said the Indian API industry was unable to compete with Chinese producers because they enjoyed the support of the Chinese government in terms of reduced excise duty, excessive capacities, availability of finance and cheap power. Further, any breakdown in supply or a price hike could seriously impact Indian patients, he added.

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