Pharmaceutical Processing World

  • Home
  • Regulatory
    • Recalls
  • Pharmaceutical Processing
  • Facility
  • Supply Chain
  • Equipment and Materials
  • Contract Manufacturing
  • R&D 100 Awards

Hospira to Acquire API Manufacturing and R & D Facilities

By Pharmaceutical Processing | August 29, 2012

Hospira, Inc. has today announced an agreement for the company to acquire an active pharmaceutical ingredient (API) manufacturing facility, together with an associated research and development (R&D) facility, from Orchid Chemicals & Pharmaceuticals Ltd., an Indian pharmaceuticals company, for approximately $200 million. Acquisition of the modern, FDA-approved facility is expected to reduce Hospira’s costs, support continuity of supply of key antibiotic products and pave the way for future API development.

“Our decision to acquire Orchid’s world-class API facility demonstrates Hospira’s continued dedication to the antibiotics space, enhancing cost-competitiveness and ensuring continuity of supply,” said Dr. C. Bhaktavatsala Rao, managing director, Hospira India. “This is a top-of-the-line API manufacturing facility that has been recognized by industry leaders for its high standards. We look forward to welcoming our new colleagues from Orchid and leveraging their expertise to continue to bring high quality, lower-cost products to patients around the world.” The proposed acquisition, which follows Hospira’s 2010 purchase of Orchid’s generic injectable finished-dosage form pharmaceuticals business, will enable Hospira to vertically integrate into certain critical beta-lactam antibiotic APIs (penems and penicillins), and is also expected to improve Hospira’s standard cost position in this therapeutic space. In addition, controlling the source of these beta-lactam APIs will improve the company’s security of supply. Orchid will retain its cephalosporin API business and facilities, and will continue to supply Hospira with this associated API.

The Aurangabad, India, facility, staffed by approximately 640 employees including chemists, engineers and technicians, received the International Society of Pharmaceutical Engineering’s (ISPE) Facility of the Year Award for Regional Excellence in 2009. Constructed in 2000, the facility includes 50,000 square meters of space. Hospira’s purchase also includes an associated Orchid R&D facility based in Chennai that will be primarily directed to beta-lactam and other APIs with approximately 160 scientific personnel and an additional 30 employees supporting the facilities.

Beta-lactam antibiotics represent a class of drugs with a wide spectrum of antibacterial activity. Hospira’s imipenem-cilastatin and meropenem injectable beta-lactams have both had successful introductions recently in a number of markets, including Europe and the United States, and today command leading market positions.

  

 

Related Articles Read More >

A Zipline fixed-wing drone in the air drops a package
Cardinal Health starts Zipline drone deliveries of drugs and medical supplies
Pfizer logo
Pfizer to spend $120M to make COVID-19 oral treatment in U.S.
Image of MedTrace Pharma's P3 automated delivery system for 15-O water in action
MedTrace Pharma moves forward on 15 O-water imaging tech
coronavirus COVID-19 Pfizer
NIH starts evaluating second COVID-19 booster shots in adults

DeviceTalks Tuesdays

DeviceTalks Tuesdays

MEDTECH 100 INDEX

Medtech 100 logo
Market Summary > Current Price
The MedTech 100 is a financial index calculated using the BIG100 companies covered in Medical Design and Outsourcing.

Need Pharmaceutical Processing news in a minute?

We Deliver!
Pharmaceutical Processing Enewsletters get you caught up on all the mission critical news you need. Sign up today.
Enews Signup
Pharmaceutical Processing World
  • Subscribe to Our Free E-Newsletter
  • Contact Us
  • About Us
  • Advertise With Us
  • R&D World
  • Drug Delivery Business News
  • Drug Discovery & Development
  • DeviceTalks
  • MassDevice
  • Medical Design & Outsourcing
  • MEDICAL TUBING + EXTRUSION
  • Medical Design Sourcing
  • Medtech100 Index

Copyright © 2022 WTWH Media LLC. All Rights Reserved. The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of WTWH Media
Privacy Policy | Advertising | About Us

Search Pharmaceutical Processing World

  • Home
  • Regulatory
    • Recalls
  • Pharmaceutical Processing
  • Facility
  • Supply Chain
  • Equipment and Materials
  • Contract Manufacturing
  • R&D 100 Awards