Xellia Pharmaceuticals expands into US with purchase of manufacturing plant

Xellia Pharmaceuticals, a Denmark-headquartered speciality pharmaceutical company focused on developing anti-infective treatments, has acquired Fresenius Kabi’s dedicated freeze-dried vial manufacturing facility in Raleigh, North Carolina, US. The deal also includes a continuous manufacturing and supply agreement with Fresenius Kabi. Financial details have not been disclosed.

The manufacturing site, located close to Research Triangle Park, is Xellia’s first facility in the US. It significantly expanding the company’s manufacturing capacity for injectable pharmaceutical products.

Xellia will retain all staff currently employed at the site (approximately 80 people) and will continue to manufacture certain products for Fresenius Kabi. The company plans to employ more staff as it expands the site further.

Carl-Åke Carlsson, CEO of Xellia, said: 'This is a great opportunity for us to expand our manufacturing capabilities into the US which is a key market for us.'

The two companies have been in partnership for a number of years, with Xellia a preferred supplier of active pharmaceutical ingredients to Fresenius.

'This agreement is part of our global strategy to optimise our manufacturing and supply network,' added John Ducker, President and CEO, Fresenius Kabi USA. 'This transaction will have no impact on Fresenius Kabi’s ability to meet customer demand for the products we currently manufacture at the Raleigh site.'

This plant acquisition is part of the latest phase of Xellia’s on-going global expansion plans which include an investment of US$2m at the company’s Product and Innovation R&D Centre of Excellence in Zagreb, Croatia in May this year.

Since July 2013, Xellia has been wholly owned by Novo A/S, the holding company of the Novo Group.