Norwich Pharma breaks ground on $26 million expansion

NORWICH — Norwich Pharmaceuticals Inc.’s management and employees, representatives of the parent company — Alvogen, regional elected officials, and the media assembled on April 28 for a groundbreaking ceremony for an expansion at the Norwich plant. Speaking to an audience of several hundred, Charlie Andrews, Norwich Pharma’s vice president of operations, noted that “[t]his is the first addition since the facility was built in 1976.”

The $26 million expansion to the north end of the existing structure will add 26,000 square feet to allow for the acquisition and installation of new processing equipment and to enhance the existing infrastructure. Andrews laid an ambitious timeline to complete the construction and installation — he expects the new addition to be completed in September 2016. A March 12 news release from Alvogen said “[t]his investment will allow us to acquire equipment upon which many of the newer drug products are being manufactured and sets us up to capture future business opportunities …”

Norwich Pharmaceuticals is a full-service contract development and manufacturing organization (CDMO), with the capacity to produce tablets, capsules, liquids, and semi-solids. It follows a strategy of developing and producing product for selected, third-party customers as well as for Alvogen. As the generic-pharmaceutical industry has become more of a commodity-based business, the Norwich CDMO is countering pressures on its operating costs by developing a more efficient and flexible operation.

Norwich Pharmaceuticals has positioned itself as a single-source provider from phase-1 product development through pilot-scale, clinical production, scale-up, registration, clinical services, and manufacturing. The company has two dedicated, approved areas in the plant for development and pilot-scale batch manufacturing that allow a direct transfer from the pilot plant to commercial operations, enabling customers a fast transition to the marketplace. With its focus on complex, solid oral-dosage and a flexible production environment, Norwich Pharma has carved out niches in the market that the proposed, new equipment will support. The firm’s competitive position is also enhanced by its designation as a foreign trade zone, which eliminates many of the hurdles in clearing a product through the U.S. Food & Drug Administration and Customs.

The company began in 1887 as Norwich Pharmacal Company. It introduced national favorites such as Unguentine, an antiseptic, surgical dressing, in 1893; Pepto-Bismol in 1901; and aspirin in 1907. In 1939, Norwich was listed on the NYSE. Procter & Gamble bought the company in 1982 before selling it to Outsourcing Service Group in 2001. AFI Partners, LLC, a private-equity firm and the holding company for Alvogen, acquired Norwich in 2007 and rebranded it as Norwich Pharma Services in 2013.

The current Norwich facility encompasses 359,000 square feet. With its addition, it will comprise 385,000 square feet. Sited on 400 acres just north of the city, the plant employs 277 people with an annual payroll of $25 million. CNYBJ estimates the company’s annual revenue at $80 million to $100 million.

Norwich Pharma is targeting a number of therapeutic areas for its growth: cardiovascular, central nervous-system, dermatology, oncology, endocrinology, infectious diseases, nutrition, and respiratory.

Alvogen, which has more than 350 generic products on the market and more than 200 development projects in the pipeline, is a multi-national pharmaceuticals company with commercial operations in 34 countries. The company has five manufacturing plants; Norwich is the only American facility. Alvogen, which employs 2,300, is focused on developing, manufacturing, and distributing generic, brand medicines, biosimilars, and over-the-counter products. Chris Young, Alvogen’s executive vice president, global-supply chain, who also spoke at the groundbreaking, said, “… [Our] aim is to become a top-10 [industry] player. Our vision is to become the pharmaceutical company of tomorrow, setting a new standard by combining our collective experiences and understanding our customers’ needs … This means creating a lean, flexible, multi-national operation. Our success is dependent on three things: recruiting outstanding talent, building on our U.S. platform, and continuing to develop a complex portfolio.”

AFI Partners is a private-equity firm that makes control and non-control investments in small and middle-market companies undergoing change. On its website, the company touts its flexible capital and experience with special operations to source proprietary deal flow and to help businesses with leading product- and service-offerings to manage growth and to turn around underperformance. AFI prefers to invest in U.S.–based businesses with under $250 million in revenue, focusing on New York and the Midwest. The equity-firm targets the following industries for investment: automotive, metals, chemicals, paper, transportation, building products, pharmaceuticals, aerospace/defense, mining, plastics/packaging, and energy/power.

Andrews, who has been at Norwich Pharma eight months, has more than 20 years of experience in the pharmaceutical industry. Prior to joining Norwich Pharma, he worked at Abbott Laboratories, Cardinal Health, and Endo Pharmaceuticals. In addition to Andrews, the leadership team at Norwich Pharma includes Ric Festarini, vice president of human resources; Dr. Kristin Arnold, Ph.D., vice president, product development and technical services; Christina Siniscalchi, site director U.S. quality; Tami Watson, director supply chain; Michael Kriever, controller; and John Bender, vice president commercial operations.        

NORWICH — Norwich Pharmaceuticals Inc.’s management and employees, representatives of the parent company — Alvogen, regional elected officials, and the media assembled on April 28 for a groundbreaking ceremony for an expansion at the Norwich plant. Speaking to an audience of several hundred, Charlie Andrews, Norwich Pharma’s vice president of operations, noted that “[t]his is the first addition since the facility was built in 1976.”

The $26 million expansion to the north end of the existing structure will add 26,000 square feet to allow for the acquisition and installation of new processing equipment and to enhance the existing infrastructure. Andrews laid an ambitious timeline to complete the construction and installation — he expects the new addition to be completed in September 2016. A March 12 news release from Alvogen said “[t]his investment will allow us to acquire equipment upon which many of the newer drug products are being manufactured and sets us up to capture future business opportunities …”

Norwich Pharmaceuticals is a full-service contract development and manufacturing organization (CDMO), with the capacity to produce tablets, capsules, liquids, and semi-solids. It follows a strategy of developing and producing product for selected, third-party customers as well as for Alvogen. As the generic-pharmaceutical industry has become more of a commodity-based business, the Norwich CDMO is countering pressures on its operating costs by developing a more efficient and flexible operation.

Norwich Pharmaceuticals has positioned itself as a single-source provider from phase-1 product development through pilot-scale, clinical production, scale-up, registration, clinical services, and manufacturing. The company has two dedicated, approved areas in the plant for development and pilot-scale batch manufacturing that allow a direct transfer from the pilot plant to commercial operations, enabling customers a fast transition to the marketplace. With its focus on complex, solid oral-dosage and a flexible production environment, Norwich Pharma has carved out niches in the market that the proposed, new equipment will support. The firm’s competitive position is also enhanced by its designation as a foreign trade zone, which eliminates many of the hurdles in clearing a product through the U.S. Food & Drug Administration and Customs.

The company began in 1887 as Norwich Pharmacal Company. It introduced national favorites such as Unguentine, an antiseptic, surgical dressing, in 1893; Pepto-Bismol in 1901; and aspirin in 1907. In 1939, Norwich was listed on the NYSE. Procter & Gamble bought the company in 1982 before selling it to Outsourcing Service Group in 2001. AFI Partners, LLC, a private-equity firm and the holding company for Alvogen, acquired Norwich in 2007 and rebranded it as Norwich Pharma Services in 2013.

The current Norwich facility encompasses 359,000 square feet. With its addition, it will comprise 385,000 square feet. Sited on 400 acres just north of the city, the plant employs 277 people with an annual payroll of $25 million. CNYBJ estimates the company’s annual revenue at $80 million to $100 million.

Norwich Pharma is targeting a number of therapeutic areas for its growth: cardiovascular, central nervous-system, dermatology, oncology, endocrinology, infectious diseases, nutrition, and respiratory.

Alvogen, which has more than 350 generic products on the market and more than 200 development projects in the pipeline, is a multi-national pharmaceuticals company with commercial operations in 34 countries. The company has five manufacturing plants; Norwich is the only American facility. Alvogen, which employs 2,300, is focused on developing, manufacturing, and distributing generic, brand medicines, biosimilars, and over-the-counter products. Chris Young, Alvogen’s executive vice president, global-supply chain, who also spoke at the groundbreaking, said, “… [Our] aim is to become a top-10 [industry] player. Our vision is to become the pharmaceutical company of tomorrow, setting a new standard by combining our collective experiences and understanding our customers’ needs … This means creating a lean, flexible, multi-national operation. Our success is dependent on three things: recruiting outstanding talent, building on our U.S. platform, and continuing to develop a complex portfolio.”

AFI Partners is a private-equity firm that makes control and non-control investments in small and middle-market companies undergoing change. On its website, the company touts its flexible capital and experience with special operations to source proprietary deal flow and to help businesses with leading product- and service-offerings to manage growth and to turn around underperformance. AFI prefers to invest in U.S.–based businesses with under $250 million in revenue, focusing on New York and the Midwest. The equity-firm targets the following industries for investment: automotive, metals, chemicals, paper, transportation, building products, pharmaceuticals, aerospace/defense, mining, plastics/packaging, and energy/power.

Andrews, who has been at Norwich Pharma eight months, has more than 20 years of experience in the pharmaceutical industry. Prior to joining Norwich Pharma, he worked at Abbott Laboratories, Cardinal Health, and Endo Pharmaceuticals. In addition to Andrews, the leadership team at Norwich Pharma includes Ric Festarini, vice president of human resources; Dr. Kristin Arnold, Ph.D., vice president, product development and technical services; Christina Siniscalchi, site director U.S. quality; Tami Watson, director supply chain; Michael Kriever, controller; and John Bender, vice president commercial operations.