Welcome to America! Danish Pharma’s Xellia Expands Manufacturing in the U.S.

July 7, 2014

Fresenius Kabi’s dedicated lyophilized (freeze-dried) vial manufacturing facility in Raleigh, North Carolina, was recently acquired by Xellia Pharmaceuticals (‘Xellia’), a Danish specialty pharmaceutical company focused on providing anti-infective treatments against serious infections. The deal, says Xellia, includes a continuous manufacturing and supply agreement with Fresenius Kabi.

Located close to Research Triangle Park, the facility is Xellia’s first manufacturing operation in the U.S. and significantly expands the company’s injectable pharmaceutical products manufacturing capacity. Xellia intends to retain all ~80 staff currently employed at the site and will continue to manufacture certain products at the site for Fresenius Kabi.

According to Xellia CEO Carl-Åke Carlsson, “This is a great opportunity for us to expand … into the U.S. which is a key market for us. We have great respect for Fresenius Kabi … and have been in partnership with the company for years as a preferred, trusted supplier of active pharmaceutical ingredients. I believe this acquisition will be a win-win situation, benefiting both companies and our customers.”

“This agreement is part of our global strategy to optimize our manufacturing and supply network,” said John Ducker, president and CEO, Fresenius Kabi. “Both companies are committed to assure a smooth and seamless transition for customers and employees. This transaction will have no impact on Fresenius Kabi’s ability to meet customer demand for the products we currently manufacture at the Raleigh site and we continue to work closely with the FDA to alleviate US drug shortages.”

The acquisition, says Xellia, is part of the company’s latest phase of on-going global expansion that includes investing $2 million in its Product and Innovation R&D Centre of Excellence in Zagreb, Croatia. Xellia also says it is increasingly moving on from its origins as a manufacturer of active pharmaceutical ingredients (APIs) to that of a supplier of the finished dosage form (FDF) drugs.