Novartis's Sandoz will invest more than 100 million euros in restructuring the EU antibiotic supply chain

Although the focus of the pharmaceutical industry has shifted away from antibiotics, Novartis' generic drug company Sandoz is investing funds in the European market to expand its antibiotic production network
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Sandoz said it will adjust its antibiotic production in Europe, increase the production capacity of its two factories, and phase out the production of another factory by 2024

The expansion will cost more than 100 million euros to increase the production of new technology for oral amoxicillin (a penicillin bulk drug).
This investment will enable the company to use its plant in Kundl, Austria, to develop this hub into The only major end-to-end antibiotic supply chain in Europe
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In July 2020, Sandoz announced a joint investment with the Austrian Federal Government to promote the long-term development of antibiotic production in Europe
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The government's funds are mainly used for the new process technology for the production of penicillin active pharmaceutical ingredients at the Kundl plant in Austria

Sanders also plans to expand its Palafolls plant in Spain, and will invest about 50 million euros in new production technology and increase the production capacity of sterile penicillin APIs and sterile API mixtures
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As part of these new plans, Sandoz will also phase out the oral APIs currently produced at the Les Franqueses plant in Spain, which the company plans to close in 2024

An article published in Nature in October 2020 stated that despite the need for more antibiotics, drugmakers have been hesitant to develop antibiotics because the project is usually not profitable
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The last category of completely original antibiotics was discovered in the late 1980s.

But even in the absence of profit motives, Sandoz has at least shown some interest in integration in this area
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In February of this year, Sandoz signed an agreement with the British drugmaker GlaxoSmithKline to acquire its mature cephalosporin brands Zinnat, Zinacef and Fortum

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