WuXi Biologics will invest $1.4 billion as part of a 10-year plan to expand the companyâ€™s manufacturing capabilities in Singapore through the construction of a CDMO center.
Contract development manufacturing organization (CDMO) WuXi Biologics first entered Singapore in 2018 with a $60 million clinical and commercial biologics manufacturing site expected to come online this year.
Now, the firm plans to expand its research, development, and large-scale drug substance and drug product manufacturing capabilities in Singapore through a $1.4 billion investment over a 10-year period.
The CDMO claims the site will add 120,000 L of biomanufacturing capacity to WuXi Bioâ€™s global network by 2026. Additionally, the firm says it will create a stronger supply chain and add to the growth and success of theÂ SingaporeÂ biotech ecosystem.
“SingaporeÂ has established itself as one of the most advanced pharmaceutical hubs in the world,â€ť saidÂ Chris Chen, CEO of WuXi Biologics.
â€śAs a trusted partner to global healthcare companies and a strong contributor to the local community, WuXi Biologics’ investment in the new CDMO center with the support of EDB and our local partners inÂ Singapore, WuXi Biologics looks forward to moving ahead with this important project to enable global partners and benefit patients worldwide.”
WuXi Bio expects to hire around 1,500 research, development, and manufacturing employees once complete.
“As we have been pioneered in the application of large-scale single-use technology (SUT) through our scale-out manufacturing paradigm at all sites, the facilities in Singapore will also apply SUT,” a spokesperson for the firm told us.
“In addition, combining SUT with our new generation continuous biologics manufacturing platform, we improve energy efficiency, reduce the use of water and cleaning chemicals, minimizing the environmental impact, and promoting the sustainable development of the industry.”
Global expansions galore
According to WuXi Bio, its decision to expand its capabilities in Singapore reinforce the companyâ€™s Global Dual Sourcing strategy, which is in place to ensure that customer projects are able to be carried out at different global facilities to minimize potential risks.
The firm has carried out a string of continued investments outside its native China.
The CDMO signed a land deal allowing construction of a $60 million plant in Worcester, Massachusetts in May 2020 and one month later it entered a ten-year lease on a clinical biomanufacturing facility in New Jersey.
WuXi Bioâ€™s end of year results for 2021 reported that its revenues had increased by 83.3% year-on-year to $1.6 billion and net profits grew by 107%, totaling $550 million.
Chris Liu, an equity analyst at Jefferies, claimed in March that this made WuXi the second largest player in the global biologics outsourcing market with 10.3% shares of itâ€™s the sectorâ€™s total revenue in 2021 (compared to 6.4% in 2020).