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  • Doubling of production capacity at the manufacturing site in Malmö

Doubling of production capacity at the manufacturing site in Malmö

8 January 2025
Media releases

Baar, 8 January 2025 – PolyPeptide Group AG (SIX: PPGN), a focused global CDMO for peptide-based active pharmaceutical ingredients, announces the planned doubling of solid-phase peptide synthesis (SPPS) capacity at its manufacturing site in Malmö, Sweden.

The construction work is already underway, along with the supporting infrastructure, including a tank farm. PolyPeptide uses its proprietary manufacturing technology with an integrated engineering design and advanced automation and process control to ensure high productivity, safety, and sustainability. A modular approach is intended to accelerate time to market, while enhancing flexibility to ensure high utilization. As part of its mid-term outlook communicated on 13 August 2024, PolyPeptide plans to invest around EUR 100 million at the site and to create approximately 100 permanent new positions.

The additional production capacity will mainly serve to fulfill one of the large commercial agreements previously communicated by PolyPeptide. It relates to one of the growth initiatives reflected in the mid-term outlook, whereby PolyPeptide targets to double 2023 revenue by 2028 and to deploy capital expenditures of 15% to 20% of revenue to ensure capacity, also beyond 2028.

Juan José González, CEO of PolyPeptide: “The large-scale capacity expansion in Malmö allows us to further deepen the long-standing collaboration with an important GLP-1 customer. We are making good progress with the implementation of our growth strategy to meet our mid-term targets, benefiting from balanced, supportive partnerships with customers.”

[…]

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