Gerresheimer invests up to $94 million in US production plant

• Major expansion into the North American market
• Supported by the US Biomedical Advanced Research and Development Authority (BARDA) through a 70/30 cost-shared cooperative agreement
• New state-of-the-art forming lines North Carolina greatly increase the annual production capacity of glass vials in the United States

MORGANTON, North Carolina, August 9, 2022 /PRNewswire/ — Gerresheimer AG, a leading provider of health and beauty care solutions and drug delivery systems for the pharmaceutical, biotechnology and cosmetics industries, today announced investments to rapidly expand its capacity manufacturing, sourcing and logistics for glass vials in the United States. The project will be supported by the Biomedical Advanced Research and Development Authority (BARDA), part of the Office of the Assistant Secretary for Preparedness and Response (ASPR) of the United States Department of Health and Human Services (HHS) with support Department of Defense (DOD) contractor. It will expand Gerresheimer’s capability with new vial forming lines, including dimensional inspection, annealing, cosmetic inspection and packaging. BARDA has agreed to provide up to approximately US$66 million to Gerresheimer AG for this project. The investment is part of Gerresheimer’s global expansion plan and follows its Formula G strategy process.

Under the terms of the agreement, Gerresheimer will increase its annual production capacity by Morganton, North Carolina with interchangeable type 1 vials (borosilicate glass and/or aluminosilicate) and Gx Elite glass vial capacity. Funding for BARDA, with contract support from the DOD Joint Program Executive Office for Chemical, Biological, Radiological, and Nuclear Defense (JPEO-CBRND) and Army Contracts Command (ACC), will enhance state capabilities United to respond to current and future public demands. health emergencies. The vials can be used in vaccination campaigns against infectious diseases, such as COVID-19 and others. This facility expansion will further strengthen Gerresheimer’s leadership position in the elite best-in-class flask market.

“Gerresheimer is honored to support the U.S. government in strengthening its pharmaceutical supply chain for current and future medical emergencies,” said Dietmar Siemssen, CEO of Gerresheimer AG. “The agreement confirms our role as a supplier of system-critical products, such as pharmaceutical primary packaging solutions and drug delivery systems for the healthcare industry. This investment follows our Formula G process strategy and accelerates our growth in this important market,” he added.

As part of the project, the existing installation of North Carolina will be expanded with the installation of new bottle forming lines and a new warehouse. As the investment will lead to an increase in the number of people employed, new offices will also be part of the expansion plan.

The company is committed to sourcing the vast majority of its raw materials from US domestic suppliers to improve levels of responsiveness, reliability, quality and domestic supply chain integration. Gerresheimer further incorporates sustainable design principles to implement energy efficiency measures, comply with stormwater management requirements, and reduce waste for upgrades and expansion.

Disclaimer

1. The Army Contracts Command – Aberdeen Proving Ground – Joint COVID Response Division, 6472 Integrity Court, Building 4401, Aberdeen Proving Ground MD 21005-3013 is the Procurement Award and Administration Office.
2. This project was supported in whole or in part by federal funds from the US Department of Health and Human Services; Office of the Assistant Secretary for Preparedness and Response; Biomedical Advanced Research and Development Authority (BARDA), under grant number W58P05-22-2-0008.

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SOURCEGerresheimer AG