Israel's Teva Pharma to triple Czech plant capacity, confirms Hungarian investment

Israel's generics giant Teva Pharmaceutical Industries, through its Ivax Pharmaceuticals subsidiary, is expected to triple drug production at its facility in north Moravia in the Czech Republic, in what is the largest Israeli investment in that country, according to local media reports. The Prague Post notes that Ivax will see more than 1.0 billion koruna ($60.7 million) in investment from Teva, allowing a major expansion at Ivax' base in Opava, said spokeswoman Karin Martinkova.

The deal's announcement came while Czech Prime Minister Mirek Topolanek was in Jerusalem to meet with his Israeli counterpart, Ehud Olmert. The prime ministers also agreed to establish a joint Czech-Israeli R&D fund, which will focus on biotechnology, pharmaceuticals and anti-terrorism weaponry.

Teva, which is the world's largest maker of generic drugs, will create 400 new jobs in the Czech Republic, said Mr Topolanek. The Opava plant has 800 employees, representing a large portion of the Israeli group's work force in central and eastern Europe. In total, the company employs 28,000 people worldwide.