LAB Research expands preclinical testing in Canada
will increase its preclinical testing services capacity at the site
by 40 per cent.
As part of the expansion, the Canada-based contract research organisation (CRO) has enlarged its immunology department and set up new analytical chemistry laboratories in order to "meet significant client needs" in these areas.
Demand for such services is being largely driven by the increasing number of biologic drugs coming through the biopharma pipeline.
The new 87,000 square foot facility in Quebec is now operational and when it reaches full capacity, expected in 2007, it should generate revenues of over $25m and create 40 new jobs, bringing the total in Canada to over 200 people, said the firm.
Commenting on the benefits of the expansion, Luc Mainville, president and CEO of LAB Research, said: "We will now conduct a larger number of studies, offer our clients more services and improved scheduling, and lower our operating costs."
Part of these cost savings will come as a result of greater operational efficiencies through the consolidation of the firm's Canadian operations into this single new site.
In addition to Canada, LAB Research has facilities in Denmark, US and Hungary and this expansion is also part of the company's goal to enhance its global capacity by 30 per cent before mid 2007, in order to facilitate organic growth.
"LAB Research is involved in a rapidly growing industry. As we are enhancing both our capacity and our services line, we are highly confident we can carry on the organic growth we have achieved in previous years, which ranged from 20-30 per cent," said Mainville.
"We also remain on the lookout for new acquisition opportunities in order to expand our services offering and geographical reach."
