Having opted to hang onto its pharmaceutical packaging business instead of selling it off, Denmark's Superfos has now expanded the production capacity of the unit 'to extend its position as one of the leading suppliers in the market'.
Superfos Pharma will take over a factory in Haarby, Denmark, run as part of Superfos' food packaging business.Until 2002, the plant produced plastic packaging for foods and so is well suited for the production of pharmaceutical packaging, according to the company.
Superfos put its pharma business on the block towards the end of 2003 on the grounds that it represented a fraction (6 per cent) of the company's total turnover. But it abandoned the plan the following summer after failing to secure its asking price, and after growth of its pharma products outstripped those of its food and industrial lines.
Superfos Pharma makes plastic containers and closures for the pharmaceutical industry, including the Duma and Dudek ranges of containers, and recently launched a new product designed to be easier to open by patients with reduced physical function, such as those with arthritis.
Despite the growth, Superfos has been struggling to meet demand by expanding pharma capacity at its factory in Vaerloese. But despite the acquisition of a neighbouring property last year, the need for extra capacity has not been satisfied. Realigning the factory in Haarby will bring capacity back on track, said the company.
The Haarby plant totals 11,000 square metres, of which the production facilities occupy an area of approximately 3,000 square metres and warehousing 6,500 square metres.
"Superfos Pharma now has secured the necessary capacity for continued growth in the years to come. In addition, the takeover will strengthen the basis for more optimal use of production capacity," said Superfos CEO Kim Andersen.
The expansion in Haarby and the continued growth will create new jobs at Superfos Pharma, and the plan is to maintain the current manpower and production volume at the other Danish factory in Vaerloese, he added.
Haarby will be taken over by Pharma by 1 May, and the total 2005 investments relating to the handover will be approximately €4 million in 2005, said Superfos.