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Actavis To Expand Lincolnton Plant


Posted on 2006-09-29 11:02:00



A generic drug manufacturer from Iceland will spend $14 million to expand its pharmaceuticals plant in Lincolnton while adding about 50 jobs. For Actavis Group, the world's third-largest maker of generic drugs, the expansion will be the second addition to the plant in a year. In September 2005, the facility in Indian Creek Industrial Park—then owned by Alpharma Inc.—underwent a $7 million to expansion.

"Everyone in the region is talking about growing the biotechnology industry," says Barry Matherly, executive director of the Lincoln Economic Development Association. "In Lincoln County, we are making it happen."

The company will install equipment for manufacturing liquid pharmaceuticals for such products as nasal sprays, while also making other modifications to the plant. The facility opened in 1989 in the 300-acre Indian Creek development off N.C. Highway 150. The 230-employee operation makes ointments, creams and other products.

Actavis acquired the plant as a part of its $810 million acquisition of the generic drug business of New Jersey-based Alpharma in late 2005.

The pending expansion in Lincolnton comes at the expense of Actavis' 240-employee plant in Baltimore County, Md., a former Alpharma operation that's slated to close by 2008.

That 268,000-square-foot plant, which had 600 employees as recently as 2002, has faced several challenges since 2001, when the U.S. Food and Drug Administration found it didn't meet federal manufacturing standards. Alpharma spent million of dollars to fix the problems but also scaled back the operation.

The Lincolnton plant doesn't share those obstacles, says Greg Sherwood, managing director of semi-solid and liquid operations for the U.S. division of Actavis. The local plant has "an exceptional compliance record with the FDA," he says.