Croda has secured funding from the US government in a $75 million agreement which will see the US support the firm’s US lipid systems facilities used in novel therapeutic drugs, such as mRNA vaccines.
Croda announced it would be investing up to $58 million in line with its ‘Empower Biologics Delivery’, bringing the project investment to $133 million.
The group reported the cost was included in its existing capital expenditure programme listed in its 2021 financial results.
The company highlighted the investment would be used to develop a lipid facility as part of a new multi-purpose cGMP site in Pennsylvania, with construction scheduled to kick off later this year and new capacity anticipated in 2025.
Croda mentioned the investment would support the expansion of its patient healthcare solutions portfolio by installing a third manufacturing site for lipid systems alongside its existing Alabama and Leek, UK facilities.
The funding from the US government comes as a joint award from the Biomedical Advanced Research and Development Authority (BARDA) and the Army Contracting Command’s Joint COVID Response Division (ACC JCRD).
The facility is set to form part of a programme to expand the US industrial base supporting vaccine and therapeutic manufacturing activities, with the base at Lamar supporting the US preparedness for future health emergencies by ensuring adequate capacity is available in the US to produce the vital components for vaccine manufacture.
Croda noted that given the scale of the current development pipeline, the market for lipid systems is expected to grow significantly over the coming decade due to its use in novel mRNA-based therapeutics, including vaccines and cancer treatments.
“We are grateful to the U.S. government for its support of Croda. The delivery technology based on lipid systems offers significant potential for the safe and efficient delivery of next generation vaccines and therapeutic drugs,” said Croda life sciences president Daniele Piergentili.
“As a result of this investment, Croda will be able to expand its capabilities to develop and manufacture ingredients in support of this important technology.”
“This will help ensure that the U.S. is well prepared for future health emergencies and equipped to offer advanced treatments for some of the most prevalent illnesses in the world today.”
