Merck KGaA plans to invest 50 million euros in Italian production site

German pharma and chemicals group Merck KGaA (MRK: DE) says it plans to invest 50 million euros ($68.5 million) in its Italian production site in Bari in order to respond to the rising demand for biopharmaceuticals, executive board chairman Karl-Ludwig Kley announced at a press conference in Bari yesterday.

Within Merck Serono’s global biotech production network, the Bari site is part of fill and finish operations alongside the facilities in Darmstadt (Germany) and Aubonne (Switzerland). The drugs produced within this global network are seeing long-term growing demand, especially as regards those to treat infertility. The new production facility in Bari, southern Italy, is to be commissioned in 2017 for the sterile filling and packaging of liquid drugs into syringes, vials and ampoules (fill and finish).

Particularly aimed at Merck Serono division growth

“To make Merck fit for the future, we are also investing in modern, expanded production capacities in order to meet the rising demand for our drugs,” said Mr Kley, making reference to the “Fit for 2018” transformation and growth program. During his visit to the Bari site, he explained the reasons for the investment: “This is part of our growth plans for Merck and for the Merck Serono division in particular here in Bari, where we have excellent conditions thanks to highly skilled employees and a very good infrastructure. Patients will also benefit from this investment as we secure the supply of drugs that improve the quality of life of people around the globe.”

Merck generates more than half of the sales of its Merck Serono division with biotech products. Among others, the company is the world market leader in the treatment of infertility. Around two million babies of the five million born with the help of infertility drugs worldwide were conceived with the aid of Merck Serono products.