The Tippecanoe Lab site [Image courtesy of Evonik]
The Essen, Germany-based company is investing in its Tippecanoe Labs site in Lafayette, Indiana, which houses one of the world’s largest facilities for the production of active pharmaceutical ingredients (APIs).
Over the next five years, the company plans to invest $100 million to modernize key equipment in Indiana. That includes large reactors and other critical systems. The company hopes to enhance reliability, enable greater automation and improve ergonomics and efficiency.
Evonik said its investment positions it to meet the growing demand for U.S.-based drug substance CDMO services. It aims to balance its global asset footprint across North America, Europe and Asia, with a particular emphasis on North America. Tippecanoe serves as a base for its global CDMO network for small-molecule drug substances.
The company acquired the Tippecanoe Labs location from Eli Lilly in 2010. It employs more than 650 people.
“Strengthening our U.S. drug substance business is a strategic necessity,” said Guido Skudlarek, head of the Health Care business line at Evonik. “With demand surging, Tippecanoe plays a pivotal role in creating a more resilient and globally balanced asset footprint.”
Daniel Fricker, head of the Drug Substance product line at Evonik Health Care, added: “API complexity continues to rise, and this investment empowers us to work with our customers on even more challenging molecules for critical indications, such as cancer and metabolic and cardiovascular diseases.”
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