MBW Consulting, Inc.

Novo Nordisk's Pharmatech unit will invest DKK 1.5 billion ($221 million) to construct a new raw materials factory in Køge, Denmark, amid the company's ongoing efforts to address supply challenges for its products. The new facility, slated for completion in 2027, will be dedicated mainly to producing ingredients for Novo's medicines targeting chronic diseases."This is the largest investment in Novo Nordisk Pharmatech's 75-year history. We are in a period of growth. In accordance with our growth strategy, we are expanding our production to ensure an even more robust and reliable delivery of our products," said Ulla Grove Krogsgaard Thomsen, chief executive at Pharmatech.The new facility is expected to create around 50 new jobs and will leverage the expertise from Pharmatech's existing factory in Køge. "The location… is ideal, as we can draw on the extensive know-how we have at our current factory – and furthermore, the infrastructure is optimal," Thomsen said.The investment comes as Novo is undertaking a broad effort to bolster manufacturing capabilities in response to surging demand for its semaglutide-based GLP-1 drugs. The company has faced supply constraints for both Ozempic and Wegovy, although the situation is gradually improving.The drugmaker has committed to investing $6.8 billion this year in new manufacturing capacity. This is in addition to the $11 billion allocated for acquiring three manufacturing sites from contract drug manufacturer Catalent — a deal, currently under review by the US Federal Trade Commission, that is expected to close by year-end.For more, see – Vital Signs: Eli Lilly poised to overtake Novo in turning GLP-1 tide.

Novo Nordisk's Pharmatech unit is building a new factory in Denmark in order to meet the high demand for raw materials for chronic disease meds. Pharmatech will spend approximately $221 million (1.5 billion Danish kroner) to build a 86,000-square-foot facility containing production, storage, office and lab space. The facility will be built on a 506,000-square-foot site in Køge, Denmark that Pharmatech purchased last year. The plant will produce the silica gel that Novo Nordisk uses for products such as insulin and GLP-1 therapies, according to Reuters. Pharmatech says it is focusing on both capacity and sustainability for the facility, which is expected to be ready for production in 2027. Pharmatech has been active in the pharma ingredients space in Køge Bay since its launch as FeF Chemicals in 1949. The company was aquired by Novo Nordisk in 1986.

Novo Nordisk and U.S.-based Actylis made a pact to provide the antiseptic and disinfectant benzalkonium chloride to a number of countries in Europe. Novo Nordisk’s Pharmatech unit and U.S.-based Actylis, which manufactures and supplies raw materials for pharmaceuticals, inked a deal to provide the antiseptic and disinfectant benzalkonium chloride to a number of countries in Europe. Pharmaceutical grade benzalkonium chloride will be distributed by the two companies in Germany, Spain, Portugal, the U.K. and Ireland, according to a March 25 press release. The product is often used before surgeries or for wound care, according to the Cleveland Clinic. It can also be used as an antimicrobial preservative for pharma products. Financial terms of the deal weren’t disclosed. “This new agreement, built on our existing partnership in North America, represents a major opportunity for Actylis Europe to complete our pharmaceutical product portfolio while supporting the development of Novo Nordisk Pharmatech BKC for new applications,” Ian Jenning, an Actylis senior vice president, said in the release. The name Actylis is fairly new to the manufacturing game, having been cobbled together by chemical supplier Aceto and 10 other companies in 2022. Prior to the launch two years ago that was initiated by CEO Gilles Cottier, Aceto spent more than 70 years as a source and supplier in the industry. Last September, Novo Nordisk, which is known for its blockbuster drugs Ozempic and Wegovy, signed a production agreement with South Africa’s Aspen Pharmacare to expand insulin supplies with a goal of reaching more than 500,000 diabetes patients in sub-Saharan Africa. More recently, Novo Holdings, which operates under Novo Nordisk’s owner the Novo Nordisk Foundation, agreed to pay $16.5 billion to snap up contract manufacturing giant Catalent. The deal is one of the driving forces behind the seismic changes in the CDMO industry right now. As part of that deal, Novo Nordisk plans to buy three large Catalent facilities for $11 billion.