Pharma manufacturing news in brief
Our round-up of pharma manufacturing news sees a green energy drive from GSK, facility updates from Stirling Pharma, Reckitt Benckiser and Dr Reddy’s, plus FDA warning letters for two US manufacturers.
GlaxoSmithKline is considering removing its manufacturing facilities from national energy grids in order to cut costs, according to an Irish Times interview with GSK chief executive Andrew Witty. The company is considering setting up wind farms or other alternative energy sources close to some of its plants in order to insulate the manufacturing network from rapidly rising energy prices, which are expected to rise 20-30% next year. He also said that with narrowing cost differences between Western Europe and other parts of the world it is now viable to return formerly outsourced manufacturing to locations like Ireland and the UK.
Australian drugmaker Stirling Pharma‘s short-lived foray into the contract manufacturing sector has come to an end, with its manufacturing facility in Cape Breton, Canada, being offered up for sale. Stirling acquired the plant last year from Keata, a manufacturer of acetaminophen products which went into administration in 2009. The receivers for Stirling said the tender for the 46,000 sq.ft. plant – which has an annual capacity to manufacture and package over 550 million tablets, five million bottles and blend up to 1.5 million kilogrammes of product – will close on November 10.
UK drugmaker Reckitt Benckiser is planning to make India one of its main global manufacturing hubs for over-the-counter medicines in the wake of its takeover of Himachal Pradesh-based Paras Pharmaceuticals for £460 million ($715m) earlier this year, according to a Rediff.com report. Paras operates a facility in Baddi which will be used to make Reckitt brands for export, as well as its own products.
India’s Dr Reddy’s Laboratories has called off a proposed agreement to buy JB Chemicals’ prescription pharmaceutical business which was first signed in July. The agreement was “mutually terminated in the interests of both parties”, said Dr Reddy’s in a statement. The deal would have seen around 20 of JB Chemicals’ bands coming under the Indian drugmaker’s banner, with the Russian firm continuing to manufacture them for an interim period.
Two drugmakers based in Florida, USA – Hill Dermaceuticals and Hill Laboratories – have been placed under a consent decree by the FDA which effectively prohibits them from selling certain drugs across state lines. The companies have been cited for GMP violations and submitting falsified information to the FDA, the US regulator said in a statement. Hill makes several topical prescription drugs under its own label and also makes two products for Galderma under contract.
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