Evotec AG today announced that it will close its Chemistry Operations in Thane, India. All chemistry efforts will now be performed at its Abingdon (UK) facility, answering to an increasing requirement to operate closer to the principal R&D laboratories of its major customers. All project work in Thane will be finished at the end of September and Evotec (India) Private Ltd will be wound down from then.
As a consequence 120 people will have to leave the company and Evotec will take a one-time impairment charge of up to EURO 4 m in Q3 2013. At the same time Evotec confirms its revenue, profitability and cash guidance for 2013.
Dr Mario Polywka, Chief Operating Officer of Evotec, commented: “Evotec were due to relocate its Indian chemistry operations in June 2014.
During the due diligence in finding a new facility and because of growing customer requirements for European-based activities we came to the conclusion to exit our operations in India completely. Through this realignment we will be able to most efficiently serve our customers, utilise our UK chemistry resources and capabilities and also realise some cost savings. Unfortunately the impact is that we must say goodbye to a first-class work force in Thane that has so ably supported our customers over the last four years. I would like to express our sincere gratitude to these employees and wish them all the best for the future.”