Evonik is carrying out substantial investments to enhance contract manufacturing capacity at its Lafayette-Tippecanoe, Indiana, site. Inย the next five years, the company is expected to spend US$100 million on upgrading key equipment, which will include 100 mยณ reactors as well as other key systems, so asย to improve dependability, allow for higher levels of automation and boost user comfort and efficiency. The investment in contract manufacturing capacity is supported by the local government and will allow Evonik to fulfil the fast-growing need for U.S.-based drug substance CDMO services.
According to the head of the healthcare business line at Evonik, Guido Skudlarek, โStrengthening our U.S. drug substance business is a strategic necessity. With demand surging, Tippecanoe plays a pivotal role in creating a more resilient and globally balanced asset footprint.”
Evonik is managing its international asset footprint throughout North America and Europe as well as Asia, with a strategic emphasis on North America when it comes toย its Drug Substance CDMO business. The Tippecanoe site of Evonikย is an essential part of the global CDMO network of the companyย for small molecule drug substances. Upgrades to the Tippecanoe facility are indeedย an investment in the next generation of technologies, which will help maintain technology leadership and enhance energy-efficient procedures. The decision to invest in smart preservation CAPEX is a growth driver for the long haul in accordance with theย rigorous CAPEX guiding principles of Evonik, bolstering cost leadership while minimising greenhouse gas emissions.
Geopolitical ambiguities have emphasised the value of Western-based production of critical drug substances along with delivery technologies. And advanced therapeutic targets call for ever more complicated molecules, which are more challenging to manufacture. Evonik already facilitates complex synthesis, yet with increasing molecular complexity, this demands investment to uphold and enhance such capabilities.
As per the head of the Drug Substance product line at Evonik Health Care, Daniel Fricker, โAPI complexity continues to rise, and this investment empowers us to work with our customers on even more challenging molecules for critical indications such as cancer, metabolic and cardiovascular diseases.”
The Tippecanoe site from Evonikย is one of the largest API facilities in the worldย and theย second-largest U.S. site from Evonik. The facility accommodates the largest HPAPI operation in the industryย with 170 m3 of exclusive capacity and high-tech containment systems โ OEL down to 0.1 ฮผg/m3.ย The site also has 860 mยณ of reactor capacity when it comes toย general APIs and 2,500 mยณ for large-scale fermentation as well as a technology inventory of 10 advanced platforms. Tippecanoe, which has beenย acquired from Eli Lilly in 2010, has evolved into a multi-customer CDMO that specialises in intricate drug substance projects.