Bristol Myers Squibb is selling its pharmaceutical plant in East Syracuse, NY, to the Lotte Group for $160 million. In return, Lotte will acquire the operations and assets of the site, including property, plant and equipment. Contract manufacturing to produce drugs worth $220 million for Bristol over the next three years is also part of the sales agreement. Lotte plans to invest $77 million to expand the facility for development and contract manufacturing operations for the biopharmaceutical industry.
Bristol employees from the plant will become employees of Lotte Corp. when the acquisition is finalized. Many jobs at the plant are held by biochemists, molecular biologists and engineers.
“The East Syracuse site has been an important part of our company history and manufacturing network for many decades, and we are confident that Lotte will take full advantage of the facility, its capabilities and its hand. -experienced workforce as it continues to play a vital role for patients around the world,” says Karin Shanahan, Executive Vice President, Global Product Development and Sourcing for Bristol.
“We have taken a thoughtful approach to this decision and are confident that it will best support the continued evolution of our manufacturing network and our mission to deliver innovative medicines that help patients beat serious diseases.”
“We are excited to add this state-of-the-art facility to our global pharmaceutical operations, which will allow us to rapidly scale and expand our biologics CDMO business in North America,” said Hunki Lee, Executive Vice President by Lotte. “We look forward to welcoming the talented team from East Syracuse to Lotte, and we intend to make significant investments to further enhance the facility and its capabilities to support our strategic growth objectives at the ‘coming.”