KLANG: CCM Duopharma Biotech Bhd (CCMD) is allocating RM306 million in capital expenditure to enhance its manufacturing capabilities and expand its portfolio in its aim to become one of the leading pharmaceutical players in Asia.
"Global spending on medicines will reach nearly US$1.5 trillion by 2021, 33 per cent higher from 2016 levels, painting a positive outlook for the pharma industry and we are vying for a share in this region.
"Our investment will fuel and strengthen our capabilities to accomplish our vision," said CCMD chief executive officer Leonard Ariff Abdul Shatar after the group's 16th annual general meeting here today.
Leonard said CCMD has implemented the Manufacturing Optimisation Strategy to rationalise and upgrade its manufacturing assets into state-of-the-art facilities with enhanced cGMP (current Good Manufacturing Practice), purpose-designed warehousing and a distribution hub.
The expansion will include the construction of a RM140.8 million plant and warehouse facility in Klang; a RM12 million expansion of its warehouse in Bangi; and a RM15 million retrofit of its current facility in Glenmarie, Shah Alam, into a new High Active Potency Pharmaceutical Ingredients (HAPI) plant.
The HAPI plant, the first in the region, will jumpstart the company's foray in the oncology segment.
The group is also investing on capacity upgrades and expansion in its international business to meet rising cGMP standards in international markets.
The projects are expected to complete by 2018.