Sandoz to expand its presence in Slovenia with new $400M plant
Generics manufacturer Sandoz has committed roughly $400 million to construct a new plant in Europe.
Sandoz has agreed to build a new biologics plant in the town of Lendava, Slovenia, which is located about 125 miles east of Slovenia’s capital of Ljubljana, near the border with Hungary. In an email to Endpoints News, a spokesperson said the plant will be used to manufacture biosimilars, but the company hasn’t yet determined which ones.
As part of the terms of its proposed spinoff from Novartis, the Sandoz spokesperson said current biosimilar production and development will stay with Novartis, which will provide CDMO services to Sandoz while it builds out its network. The spinoff is on track for the second half of this year, Novartis said in its latest quarterly report.
“To this end, Sandoz is investing to establish its own biosimilars manufacturing and development capabilities for the longer term, against the background of rapidly rising future demand for biosimilars. This investment is an important step in this regard,” the spokesperson said.
No other details, such as the size of the facility, have been disclosed, but Sandoz is anticipating the site will add around 300 jobs. Work on the site is expected to start sometime later this year, with the site becoming fully operational in 2026.
Sandoz has had a presence in Slovenia for 40 years, but the spokesperson said that Lendava offers the company good logistical links to other Sandoz production sites and academic institutions nearby. According to the Sandoz release, the new project also marks one of the largest international private sector investments in Slovenia.
“Biosimilar medicines increase access to cutting-edge biologic therapies for the patients who need them most. At Sandoz, we are determined to continue leading the way on driving access to these critical medicines. This investment underscores our ambition to be the sustainable global leader in biosimilars, a segment projected to grow double-digit annually over the next decade,” Sandoz CEO Richard Saynor said in a release.
Sandoz currently has four locations and 5,000 employees across Slovenia.