Thursday, 25 July 2024

Eli Lilly makes largest investment in API manufacturing of synthetic medicines in US history

27 May 2024 | News

Increases manufacturing investment to $9 B at Indiana site to boost API production

Eli Lilly and Company has more than doubled its investment in its Lebanon, Indiana manufacturing site, in the US, with a new $5.3 billion commitment, increasing the company's total investment in this site from $3.7 billion to $9 billion.

This expansion will enhance Lilly's capacity to manufacture active pharmaceutical ingredients (API) for Zepbound (tirzepatide) injection and Mounjaro (tirzepatide) injection so that more adults with chronic diseases like obesity and type 2 diabetes may benefit from these important treatments.

Since 2020, Lilly has committed more than $16 billion to develop new manufacturing sites in the US and Europe. New locations outside Indiana include Research Triangle Park and Concord, North Carolina; Limerick, Ireland; and Alzey, Germany. Separately, the company has invested an additional $1.2 billion to update existing manufacturing facilities in Indianapolis and recently acquired an injectable manufacturing facility in Pleasant Prairie, Wisconsin, from Nexus Pharmaceuticals. Together, these manufacturing investments total more than $18 billion.

As part of this additional investment in the Lebanon site, located within Indiana's LEAP Research and Innovation District, Lilly expects to add 200 full-time jobs for highly skilled workers such as engineers, scientists, operating personnel and lab technicians, resulting in an estimated 900 full-time employees when the facility is fully operational. Additionally, there will be more than 5,000 construction jobs during the site's development.

To support Lilly's expansion project, the state will partner on infrastructure solutions – road improvements, water, electric and other utilities – as well as workforce development commitments and certain economic incentives tied to the company's achievement of investment and employment goals.

The state's workforce development support includes the contribution of land, pending approval, for the construction of a learning and training center that will be part of the larger LEAP industrial development, along with a commitment to work with Lilly to raise capital for its completion. The new training centre aligns with Lilly's previously announced financial support for scholarship and training programmes with Purdue University and Ivy Tech Community College, and the BioCrossroads-led training center at 16 Tech – part of Indiana's recent Tech Hub designation.

Since breaking ground at its Lebanon manufacturing site in 2023, Lilly has transformed a significant portion of the nearly 600 acres within the complex into an active construction site. The company expects to begin making medicines in Lebanon toward the end of 2026, with operations scaling up through 2028. 

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