Esteve Pharmaceuticals expanding Girona plant to enhance the production of APIs

By Liza Laws

- Last updated on GMT

© Getty Images
© Getty Images
Esteve Pharmaceuticals has announced a substantial investment of €100 million ($108 million) to build a new manufacturing unit at its Girona plant.

This expansion aims to increase the plant's production capacity by 45% and boost the company's global capacity by 15%. The project, set to be completed by early 2026, will include production and service buildings with up to 150 cubic meters of reaction volume. Esteve plans to hire 100 new staff, adding to its current headcount of 370 employees.

Pere Mañé, General Manager of Esteve Química, emphasized the importance of this expansion, stating, "The expansion of our main industrial center will allow us to satisfy a growing global demand and expand our activity, advancing our mission of improving people's lives." The project will incorporate digitalization and data innovations to enhance production and support the distribution of new products in the US, Europe, and Japan.

Services and R&D

Founded in 1929, Esteve Pharmaceuticals operates a chemical R&D center in Barcelona and three production plants in Catalonia. The company also has manufacturing centers in Mexico and China, with a global total reaction volume capacity of 875 cubic meters. Esteve is developing its own pipeline of treatments, including Seglenta, approved for acute pain management in the US and Spain, in collaboration with Kowa Pharmaceuticals America. The company also has small molecule and gene therapy candidates for pain and rare diseases in its pipeline.

In 2023, Esteve reported earnings of €710 million, a 10% increase from the previous year. Revenues in Spain contributed 25% of the total, while the rest of the EU and the world accounted for 49% and 26%, respectively.

APIs in growth

The global API market, valued at $197 billion in 2023, is projected to reach $359 billion by 2032. This growth is driven by the rising prevalence of chronic diseases and aging populations. Other major pharmaceutical companies, such as Eli Lilly and Novo Nordisk, have also made significant investments in their API manufacturing facilities, highlighting the industry's focus on expanding API production capacity.

Mañé noted that the advantages of hosting API facilities in Spain, particularly Catalonia, include a robust supply network, a rich tradition of healthcare companies, and a substantial talent pool. He also emphasized the future of API manufacturing, predicting significant changes driven by digitalization, environmental sustainability, and technological adaptation. "Efficient data management, AI, and cybersecurity will optimize processes. Additionally, there will be a focus on reducing environmental impact and handling molecules with higher pharmacological activity," he concluded.

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