Aurobindo Pharma Limited has announced that its wholly-owned subsidiary, TheraNym Biologics Private Limited, has entered into a Master Service Agreement (MSA) with Merck Sharpe & Dohme Singapore Trading (MSD). The agreement, effective from May 31, 2024, marks a significant step forward for Aurobindo Pharma in the biologics manufacturing sector.
As part of this agreement, TheraNym Biologics will invest approximately ₹1,000 crore in the development of a new state-of-the-art manufacturing facility. This facility will be constructed at Borapatla (V), Hathnoora Mandal, Medak District, Telangana. The new facility is dedicated to producing biologic products for MSD, a move that aligns with Aurobindo Pharma’s strategic goal of expanding its capabilities in biologics manufacturing and exploring opportunities in contract manufacturing operations (CMO).
The MSA with MSD is a pivotal development for both companies. For Aurobindo Pharma, it facilitates entry into the lucrative CMO market for biologicals, leveraging its investment in advanced manufacturing infrastructure. For MSD, the agreement secures a reliable manufacturing partner, enhancing its production capabilities and ensuring a steady supply of biologic products.
In previous disclosures, Aurobindo Pharma had indicated its plans to bolster its biologics manufacturing facilities, signaling its commitment to becoming a key player in this high-growth sector. This agreement with MSD underscores that commitment and represents a significant milestone in the company’s expansion strategy.
The new manufacturing facility at Borapatla will be equipped with cutting-edge technology and adhere to the highest standards of quality and efficiency. It is expected to create numerous job opportunities in the region, further contributing to the local economy.
The partnership between TheraNym Biologics and MSD exemplifies the growing trend of collaboration between Indian pharmaceutical companies and global industry leaders. By leveraging each other’s strengths, both companies aim to drive innovation and deliver high-quality biologic products to meet global healthcare needs.
Aurobindo Pharma’s foray into biologics CMO through TheraNym Biologics is poised to set a new benchmark in the industry, showcasing India’s potential as a hub for advanced biologics manufacturing.
