Gerresheimer to invest €12m in key Czech plant

By Gareth Macdonald

- Last updated on GMT

Related tags Germany

Gerresheimer will expand its pharmaceutical packaging plant in the Czech Republic to meet growing demand for plastic systems and to further expand a key training hub.

The German firm said it will invest €12m ($17m) to double manufacturing and cleanroom space at the facility in Horsovsky Tyn and plans to hire an additional 75 staff to ramp up production capacity.

The plant produces inhalers, insulin pens, lancing devices and some of Gerresheimer’s diagnostic systems.

Company Spokesman Jens Kurten told that: “Our plastic systems plant in the Czech Republic is among the most modern plants we have worldwide.

"It is a role model where a lot of our industrialization and production takes place for the first time for new products, where people from other plants worldwide are trained and then copy the production process in their plant.

Kurten went on to explain that the Horsovsky Tyn site had played a key role in the development of the insulin pen production facility that Gerresheimer opened in Indaiatuba, Sao Paolo, Brazil last year​.

Plastic systems

Gerresheimer’s plastic systems business has grown rapidly this year with revenue and for the first quarter increasing 11.4 per cent to €72.1m and 17.3 per cent to €14.4m, respectively.

This contrasts with the unit’s performance over the last few years, which have seen its revenue contribution fall from €346m in 2008 to €307.9m in 2010.

However, this decline is more a reflection of divestitures and a shift in the plastic systems unit’s focus than a decline in demand from the pharmaceutical sector according to Kurten.

In recent years we have sold some parts of it like automotive (technical plastic systems) and some toothbrush business. If you consider this the division did high growth rates in recent years, 7.8 per cent last financial year​."

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