Avara Pharmaceutical Services, a US CDMO (contract development and manufacturing organization), has completed a previously announced acquisition of a Canadian sterile manufacturing facility for injectable medicines in Boucherville, Quebec, from Novartis’ Sandoz division.
The financial terms of the acquisition of the injectables production facility were not disclosed. The deal, which marks the entry of the US CDMO into the Canadian market while further growing its sterile processing capability, was made in late May 2018.
As part of the deal, Avara Pharmaceutical Services acquired the sterile manufacturing facility, previously owned by Novartis Technical Operations, and the adjacent Sandoz Development Center in the Sandoz Canada campus.
Timoty C. Tyson – Chairman and CEO of Avara Pharmaceutical Services, commenting on the US CDMO acquisition of the sterile manufacturing facility in Quebec, said: “This acquisition represents an important addition to the Avara portfolio and further expands our sterile processing capability, which is in very high demand.
“It comes with a market leading development capability and a dedicated team of experts that will support us in delivering high-quality pharmaceuticals that meet or exceed customer expectations and regulatory requirements. We are excited to transition this Sandoz world class center of excellence into a world class center of excellence for the contract development manufacturing market.”
The acquired sterile manufacturing facility in Boucherville is the biggest injectables production facility in Canada. It supplies several lifesaving and strategic medicines to the Canadian healthcare system, primarily to hospitals.
Under the asset purchase deal, the US CDMO came to an agreement for long-term supply contract to make sure that there will be continuous supply of products manufactured in the Boucherville sterile manufacturing facility.
Avara Pharmaceutical Services is also planning to invest in the acquired sterile manufacturing facility in Quebece and to go after business development opportunities to streamline the plant’s utilization and grow its customer base, without impacting any jobs.
Last year, the US CDMO acquired a sterile manufacturing plant from Pfizer in Liscate, Italy and a solid dose manufacturing facility in Aiken, South Carolina from GlaxoSmithKline.
With the latest acquisition of the Boucherville sterile manufacturing facility, Avara Pharmaceutical Services boasts of ten operational manufacturing and development sites across the world, out of which two are in Canada, three in the US, and one each in Puerto Rico, the UK, Ireland, France and Italy.