Ajinomoto acquires JV to integrate its CDMO business

By Vassia Barba

- Last updated on GMT

(Image: Getty/marchmeena29)
(Image: Getty/marchmeena29)

Related tags Ajinomoto Bio-Pharma Granules API acquisition

Ajinomoto to acquire remaining interest of its small molecule and API manufacturing joint venture from Granules India.

Contract development and manufacturing organisation (CDMO), Ajinomoto Bio-Pharma announced the purchase of the remaining 50% in Granules OmniChem (GOC), a joint venture company created in partnership with Granules India in 2011.

Based in Visakhapatnam, India, GOC manufactures small molecule intermediates and active pharmaceutical ingredients (APIs).

David Enloe, CEO of Ajinomoto, said that the acquisition is expected to boost the company’s small and large molecule business integration, and will enable the company to simplify the supply chain offering for its clients.

The transaction is expected to close by the end of 2019. Financial details of the acquisition were not disclosed.

Consolidating CDMO networks

According to the company’s CEO, the acquisition is a follow-up to previous efforts of the overall Ajinomoto Group to integrate its contract service offering in the pharmaceutical industry.

In October 2018​, Ajinomoto Althea, a large molecule manufacturer and aseptic fill finish services provider, united its business with Ajinomoto OmniChem, a small molecule manufacturer, to form Ajinomoto Bio-Pharma Services.

By unifying its CDMO business, Ajinomoto intended to enable access to a broader range of services across multiple production platforms for clients working with small and large molecules.

Earlier this year​, Ajinomoto Bio-Pharma proceeded in an $100m (€90m) investment to add a flexible fill line, packaging and labelling equipment to its manufacturing network, and expand its facilities in San Diego, US, and Wetteren, Belgium.

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