Croda announced that the UK government is set to provide £15.9 million support its Lipid systems expansion on Thursday.
Croda is reportedly set to use the grant to expand its manufacturing facility in Staffordshire to significantly enhance its development of high-purity Lipid systems, which are used by the company to deliver nucleic acid drugs such as mRNA vaccines.
The financial injection will expand the available range of speciality Lipids developed at the site, and is set to add significant additional production capacity.
The ingredients group announced that it would be investing an additional £15.9 million in the expansion from the firm’s existing capital expenditure programme.
The move comes as part of Croda’s business evolution into a ‘Pure Play’ Consumer Care and Life Sciences group.
The delivery system derived from Lipid systems reportedly has the potential for applications in gene editing, mRNA therapeutics, flu vaccines and cancer treatments.
“The development of mRNA technology for use in vaccines and essential treatments has been one of the greatest scientific leaps forward since the start of the pandemic, and the potential for its use in future therapies – potentially treating cancer and heart disease – is remarkable,” said UK Business Secretary Kwasi Kwarteng.
“I am therefore extremely pleased to announce this support for Croda, a market leader in the manufacture of essential mRNA components, and the only manufacturer of Lipids currently operating in the UK.”
Croda Life Sciences President Daniele Piergentili added: “We are grateful to the UK Government for its support for this important project.”
“This investment will meaningfully enhance our Lipid system capability and manufacturing capacity, ensuring that Croda plays a central role in both the development and future supply of this important delivery technology.”
Croda shares were down 0.4% to 7,870p in late afternoon trading on Thursday following the company’s announcement.