The Ahmedabad based Marck Biosciences Ltd., a parenteral drug manufacturing and marketing company, is planning a capacity expansion of its large and small volume parenteral manufacturing along with setting up a dedicated Formulation and Development (F&D) centre with a total outlay of Rs 72 crore by mid 2007.
The company is allocating major part of the investment for capacity expansion in large volume parenteral (LVP) and small volume parenteral (SVP) drugs, in which the company has its strengths on. With a present capacity of 28 million units of LVP and 65 million units of SVP per year, the company is gearing up to produce 61 million units of LVP and 230 million SVP after expansion.
"The expansion will enhance our speciality of covering a versatile spectrum of parenterals for our customers. The capacity expansion, along with setting up of dedicated facility for F&D are expected to complete by mid 2007," Bhavesh Patel, MD, Marck Biosciences Ltd. told Pharmabiz. The investment for F&D facility in an area of 26,000 sq ft will be around Rs 2.5 crore. The funds for the new ventures will be arranged through banks and company's assets, he added.
The Rs 40 crore Marck Biosciences has set its target to hit Rs 105 crore bottom line by March 2008, with plans to complete the capacity expansion of LVP by March and of SVP by June of 2007. The company, with export market over 40 countries at present, is going through registration procedures in more South Asian countries, and will set up new export relation with around 20 countries within two years, according to Patel. He said that the company, which exports sterile dosages to Asian, South American, CIS and African countries with an export turnover of Rs 8.5 crore, is expecting to cross Rs 23 crore turn over by the end of next year.
The expansion projects are planned to place the company as a versatile manufacturer of 0.5ml injectibles to 1000ml irrigation solutions, according to company sources. Within the last two years, the company has also commissioned a sterile dosage facility for manufacturing opthalmics products, respiratory range and small volume injectibles. The fresh investment of Rs 72 crore will make the total asset of the company in its current manufacturing facility located in the Kheda district, Gujarat, to an amount of Rs 125 crore, added the company officials.