Amneal Pharmaceuticals LLC, a manufacturer of generic pharmaceuticals, announced on Monday that it is investing $120 million in physical plant capital expenditures at three of its six current U.S. R&D, manufacturing and distribution facilities during the next two years.
Site expansions and infrastructure enhancement projects will create over 500 new jobs in manufacturing, research and development, distribution and sales at locations in New York, New Jersey and Kentucky.
The company now employs over 1,100 people in the United States.
"We clearly understand the value of, and are fully committed to, investing and growing within the market we serve, significantly expanding our number of 'Made in the USA' products," said Chirag Patel, Amneal president.
Driving further expansion in the U.S. market, Amneal said it is committed to spending 15-20% of annual revenue on R&D, while the industry norm is 5-6%.
Expanding stateside is an unusual move in the industry, the company noted, particularly in the New Jersey "pharma corridor," where several major branded drug companies have announced sizable layoffs this year.
The capital investment in its manufacturing plants and other facilities will support the firm's expansion into new products such as high potency medications, controlled substances and softgel capsules; new dosage forms including transdermal patches and injectables; and new therapeutic areas like oncology.
The generic pharmaceuticals segment has been a rare bright spot in pharma. This month the Generic Pharmaceutical Association reported that generic medicines now account for 80% of all prescriptions dispensed in the U.S. and have saved consumers and the U.S. healthcare system more than $1 trillion over the past ten years.
