CMO Pharma Tech Industries (PTI) will invest more than $5M to expand its production facility in Union, Missouri, which makes ingestible powders.
The expansion will add approximately 60,000 square feet of manufacturing space to PTI’s 100,000 square feet operations in Union. Half of the $5M will go to new equipment for the additional space, Tee Noland, chairman of PTI, told us.
Noland added that the site currently produces “an NDA Rx-to-OTC-switch laxative product. In the new site we will produce a fiber-based product that is used for digestive health.” The company “may eventually migrate some of the laxative business to the new site pending other developments,” he said, noting the expansion will lead to the hiring of an additional 15 to 20 employees initially.
The expanded capacity will also include a production room built to ISO (International Organization for Standardization) Class 8 clean room standards. The project is scheduled to be completed in March of 2014.
Primarily driven by client demand, the expansion will help to increase PTI's size, which “has grown by 10-15% pretty consistently over the past 5-6 years,” Noland said. “With space being the limiting factor, we have known for some time that this expansion was inevitable as both new and existing clients demand more services from PTI.”
Noland added that the expansion may be part of a wider expansion for the company, which also has an analytical lab in Royston, Georgia.
“As we add more business to our portfolio, we will assess our resources and technologies available and determine other requirements for longer term expansion,” he said.
“Over the years, PTI’s growth has been gradual, consistent and thoughtful – adding those services that make the most sense for our target customers while being careful not to overreach or expand just for expansion’s sake.”