Pharma-Biotech New Build Update: 26 New Facilities Targeted for 2Q07 Completion Top $1.5 Billion Investment

---

Reported by Annette Kreuger, Industrial Info Resources (Sugar Land, Texas). The North American Pharmaceutical-Biotech Industry currently expects 26 new manufacturing plants and research facilities to complete construction during the second quarter of 2007. This figure represents a 30% increase over the same quarter in 2006, when construction was wrapped up on 20 new plants. The new build activity was drawn from a recent analysis of new plants under development currently being tracked within Industrial Info Resource’s Pharmaceutical Tracker. All of the sites included in the analysis for the 2Q07 have already begun construction.

Click on the image at right to view a chart showing the breakdown of new plants by market region.

The Great Lakes Region claims the majority of activity for the quarter, with five of the new sites falling within its boundaries. The Mid-Atlantic and Northeast Regions both tied for second place, with each expecting the completion of four new facilities. This is a change from the 2Q06, when the Northeast dominated with six plants, followed by the Great Lakes with four. The Mid-Atlantic had two last year, as did the Southeast and Southwest Regions.

Breaking out the data on a state level, Maryland leads for the 2Q07, with three plants wrapping up construction. California, Illinois, New York, Pennsylvania and Wisconsin all expect two sites to be complete by June 30, 2007. All of the remaining plants, except for one in Ontario, Canada, are spread throughout the United States.

When considering the total investment value (TIV) of the new plant construction, the 2Q07 sites represent a current and potential future TIV of $1.5 billion.

This figure is a considerable jump of nearly $1 billion, or an astounding 300% increase over 2Q06’s TIV of $512 million.

Currently, the largest existing and potential investment of any of the 2Q07 facilities is Amylin Pharmaceuticals’ (NASDAQ:AMLN) (San Diego, California) plans for its 26-acre site in West Chester, Ohio. The company is wrapping up an $84 million first phase renovation of an existing 150,000 square foot building on Trade Port Drive that it purchased last year and already is in planning for a $400 million expansion. Amylin will use the facility for production of its diabetes treatment, the long-acting release (LAR) formulation of exenatide.

At the other end of the economic scale, MVP Laboratories nevertheless made Nebraska officials happy that its relocation of operations will remain within the state. Carrying a TIV of $2.5 million, the company is renovating two buildings totaling 24,000 square feet for animal nutritional product manufacturing and research. After completion of the project, the MVP will close its existing plant in Ralston, Nebraska.

View Plant Profile - 1068585 1070267 1520257
View Project Report - 10003653 10003859 34000706

Industrial Info Resources (IIR) provides marketing communication services ranging from industrial database solutions to market forecasting, custom analytics, and specialty promotions that support high-level image campaigns.