Recipharm performs ‘unexpected’ U-turn on Höganäs facility

By Ben Hargreaves contact

- Last updated on GMT

(Image: Getty/Mantinov)
(Image: Getty/Mantinov)

Related tags: Recipharm, Sweden

Recipharm has reversed its decision about its Sweden-based operations after new customers emerged making the site viable again.

It was announced at the end of last year​ that the Recipharm would look to close operations in Höganäs, and at an additional base in Stockholm.

At the time of the announcement, the company stated the decision was taken to “improve profitability and competitiveness”​.

However, during the intervening evaluation period, Recipharm noted that it had been approached by new customers, “adding demand for several new products in Höganäs”​.

In particular, the company revealed: “An important new customer contract has now been established, comprising development and launch of a new product by a large European pharmaceutical company.”

The facility specialises in the manufacture of sachet and stick pack filling, primarily for powders and granules. The decision will mean that the future employment of the 45-strong workforce will now be secured.

Thomas Eldered, CEO of Recipharm, said in a statement: “The decision to stay in Höganäs is a consequence of the increased demand for the technology and capacity we can offer. This has been somewhat unexpected, but we are of course pleased to see new customers entering in Höganäs and that, by this, we are also able to continue the services to existing customers.”

The change of mind regarding the Scandinavian facility follows on from investment in other areas of its manufacturing capabilities in Europe, such as in the UK​ and France​.

Regarding the company’s plans for the Stockholm facility, Erik Haeffler, VP of manufacturing services, confirmed that it will close as previously had been announced.

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