Kemwell seals Pfizer plant deal

By Kirsty Barnes

- Last updated on GMT

Related tags Ulcerative colitis

Kemwell has sealed the deal on the purchase of Pfizer's Swedish
manufacturing plant and at the same time secured a long-term
contract manufacturing agreement with the drug giant.

After first being announced in March, the plant acquisition was finally completed for an undisclosed sum on August 28 and the factory's 170 workers have now been assimilated into Kemwell's existing workforce.

Conveniently for both firms, the Swedish manufacturing plant will continue to make Salazopyrin, Pfizer's anti-inflammatory drug for Crohn's disease and ulcerative colitis, under a new contract manufacturing deal with the new Indian owners.

Kemwell, who bought the plant in the hope of generating new business by increasing not just its capacity, but its geographic proximity to big pharma, has indicated that it expects more manufacturing contracts to soon follow as a result.

The facility, based in Uppsala, can manufacture both active pharmaceutical ingredients (APIs) and finished drug products and is approved by US, European and Japanese regulatory authorities.

"Kemwell is determined to become a global player in contract manufacturing,"​ said chairman and managing director, Subhash Bagaria.

"Through the Swedish acquisition, we can not only ensure rapid growth with a major capacity addition but also apply best practices from both parts of the world."

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