Glenmark starts new manufacturing facility for US, UK markets

MUMBAI: Glenmark Pharmaceuticals has started manufacturing samples at its new plant in Indore that will be shipped for the approval of the US Food and Drug Administration before it can launch the products at the world's largest drug market.

The Mumbai-based company has invested 80-100 crore in the plant that has initial capacity to manufacture a million tables per year solely for exports to the US and UK, a person familiar with the development said.

Glenmark is hoping to get a USFDA approval for the plant within a year, which will be crucial for its revenue growth from 2012, as the firm estimates it will run out of capacity in its existing manufacturing units within a year or so, the person said, asking not to be named.

"We needed to set up a new and a larger facility that will cater to the requirements of these two (US and Europe) markets," said the company spokesman. He did not comment on the capacity of the plant.

At present, Glenmark has three plants in Goa-one for the manufacturing of solids, one for semi solids and one for hormones. Its existing USFDA approved units cater to the US and UK markets currently.

Glenmark shares closed at 300.90, down 1.9% on Tuesday in a weak Mumbai market after the company said its net profit for the quarter ended December grew 16.5% over the year ago period in line with analyst estimates to 109.6 crore.