CordenPharma Unveils €500M Swiss Peptide Plant in Major Expansion Move

CordenPharma, a leading contract development and manufacturing organization (CDMO), has announced plans to construct a €500 million ($536 million) peptide production facility near Basel, Switzerland. This significant investment marks a pivotal step in the company's strategic expansion of its peptide manufacturing capabilities.

New Facility to Meet Growing Demand for Peptide Medicines

The state-of-the-art plant, set to commence commercial operations in the first half of 2028, will be equipped with multiple manufacturing lines capable of supporting small-, medium-, and large-scale peptide production. Notably, the facility will have the capacity to handle both GLP-1 and non-GLP-1 peptide projects, positioning CordenPharma to meet the surging demand for innovative peptide medicines.

Michael Quirmbach, CordenPharma's President and Chief Executive, emphasized the facility's strategic importance, stating, "The new facility is designed to deliver flexible and efficient peptide manufacturing to meet the growing demand of innovative peptide medicines for our customers and ultimately, patients."

Construction of the new plant is scheduled to begin this year in Muttenz, Switzerland, approximately 8 km outside of Basel. The company plans to conduct facility qualifications in 2027, with full operations commencing the following year. Upon completion, the site is expected to generate 300 new jobs, significantly boosting the local economy and CordenPharma's workforce.

Part of a Broader €1 Billion Strategic Investment

The Swiss facility represents half of CordenPharma's planned €1 billion strategic investment in peptide production. This ambitious initiative, initially announced in July 2023 with a €900 million budget, has been expanded to over €1 billion, underscoring the company's commitment to strengthening its position in the rapidly growing peptide market.

In addition to the Swiss plant, CordenPharma is expanding its Boulder site in Colorado. This dual-pronged approach aims to double the company's annual solid phase peptide synthesis (SPPS) reactor capacity to more than 42,000 liters by 2028, significantly enhancing its ability to meet the increasing demand for GLP-1 peptides in diabetes and obesity treatments.

Financial Outlook and Growth Targets

CordenPharma's substantial investments align with its ambitious growth strategy. The company has set a sales target of more than €1 billion ($1.08 billion) by 2028. This goal appears within reach, considering the company's recent financial performance. CordenPharma reported sales of €880 million ($952 million) in 2023 and €854 million ($919 million) in its 2024 financial year.

The significant expansion in peptide manufacturing capabilities, coupled with the growing market demand for peptide-based therapies, positions CordenPharma for potential strong growth in the coming years. As the pharmaceutical industry continues to focus on innovative peptide medicines, CordenPharma's strategic investments may well prove to be a decisive factor in its future success and market position.