PIOMBINO DESE, Italy--(BUSINESS WIRE)--Stevanato Group (NYSE: STVN) (the “Company”), a global provider of drug containment, drug delivery and diagnostic solutions to the pharmaceutical, biotechnology and life sciences industries, today announced the acquisition of a facility in Zhangjiagang for a new plant where the Company expects to begin renovations in the spring 2022, as part of the latest phase of its expansion in China.
The new facility is located near the Company’s drug containment solutions facility in the Jiangsu Zhangjiagang Economic and Technological Development Zone, helping to cement the area as a major center of biopharmaceutical innovation. The facility is expected to be up to 32,000 square meters including engineering space. The Company is expected to employ approximately 270 people in the China hub. As a strategic hub for the Company’s operations in the country, we believe the plant will support the Chinese pharmaceutical industry by streamlining the drug development supply chain in the country from lab through commercialization and help meet the increased demand for biologics.
The state-of-the-art facility is expected to host (i) production of high-value solutions, such as pre-sterilized EZ-fill® syringes and vials, to meet the growing demand in the biotech and vaccine market, as well as (ii) a manufacturing area for visual inspection machines and glass forming lines, featuring cutting-edge production processes and technologies. Equipment production is expected to start in 2023, with the first EZ-fill® lines due to be operative in early 2024.
In addition, the Company expects to enlarge its current standard drug containment solution production in Zhangjiagang, increasing the size of the existing facility by approximately 7,000 square meters. This site is expected to allow to almost double current production capabilities by end of 2024.
“We are excited to continue our expansion in China as part of our strategic priorities to optimize global footprint,” said Franco Moro, Chief Executive Officer of the Company. “Beginning construction on our new manufacturing hub is an important milestone for Stevanato Group in a key market, and will allow us to better serve local customers with premium drug containment solutions and machinery supply.”
On March 10, 2022, the Company hosted a ribbon cutting event to celebrate the new hub at the presence of local Zhangjiagang and ZETDZ authorities, Italian Consulate representatives in China.
About Stevanato Group
Founded in 1949, Stevanato Group is a leading global provider of drug containment, drug delivery and diagnostic solutions to the pharmaceutical, biotechnology and life sciences industries. The Group delivers an integrated, end-to-end portfolio of products, processes and services that address customer needs across the entire drug life cycle at each of the development, clinical and commercial stages. Stevanato Group’s core capabilities in scientific research and development, its commitment to technical innovation and its engineering excellence are central to its ability to offer value added solutions to clients. To learn more, visit stevanatogroup.com.
This press release may include forward-looking statements. The words "will", “expected”, “expects”, "due to", "believe", and similar expressions (or their negative) identify certain of these forward-looking statements. These forward-looking statements are statements regarding the Company's intentions, beliefs or current expectations concerning, among other things, expectations regarding the development of the industry and the competitive environment, the expansion of manufacturing capacity, the timeline of completion of the new Chinese plant, the Company’s plans regarding its presence in the Chinese market, the Company’s capacity to support the Chinese pharmaceutical industry, business strategies, workforce, the Company’s capacity to meet future market demands, business decisions of key industry partners, and results of operations. The forward-looking statements in this press release are based on numerous assumptions regarding the Company’s present and future business strategies and the environment in which the Company will operate in the future. Forward-looking statements involve inherent known and unknown risks, uncertainties and contingencies because they relate to events and depend on circumstances that may or may not occur in the future and may cause the actual results, performance or achievements of the Company to be materially different from those expressed or implied by such forward looking statements. Many of these risks and uncertainties relate to factors that are beyond the Company's ability to control or estimate precisely, such as future market conditions, currency fluctuations, the behavior of other market participants, the actions of regulators and other factors such as the Company's ability to continue to obtain financing to meet its liquidity needs, changes in the political, social and regulatory framework in which the Company operates or in economic or technological trends or conditions. In particular, the Company may determine not to conduct a registered initial public offering in the time frame that it currently expects or at all, due to a number of potential important factors, including conditions in the U.S. capital markets, negative global economic conditions, potential negative developments in the Company’s business, or unfavorable or regulatory developments. Readers should therefore not place undue reliance on these statements, particularly not in connection with any contract or investment decision. Except as required by law, the company assumes no obligation to update any such forward-looking statements.