The Mallinckrodt subsidiary will benefit from a Canadian government grant to help expand microbial fermentation sites in Prince Edward Island and Nova Scotia.

In 2014, Mallinkrodt Pharmaceuticals acquired Canadian contract manufacturing organization (CMO) BioVectra as part of its $5.6 billion acquisition of Questcor Pharmaceuticals. The CMO has 64,000 L of fermentation bioreactor capacity across its four manufacturing plants in Atlantic Canada – three in Prince Edward Island and one in Nova Scotia.

Now the sites are set to expand through a CA$144.6 million ($107 million) investment by the company and a CA$37.5 million ($28 million) grant from the Strategic Innovation Fund from the government of Canada.

Image: iStock/SMJoness

The new facilities will be built with zero emission construction materials and is set to create 150 new jobs.

“Canadian companies like BioVectra are creating new jobs and establishing themselves as global leaders in producing lifesaving treatments for serious illnesses that affect millions of people around the world,” Canada’s Prime Minister Justin Trudeau said in a statement.

“Today, we are not only investing in an innovative Canadian business, but also in Canadians and the future prosperity of our country.”

Navdeep Bains, Canada’s minister of Innovation, Science and Economic Development, added: “Our government is investing in BioVectra’s project for more environmentally friendly pharmaceutical manufacturing that will drive innovation in the biologics industry for years to come.

“Together we’re helping BioVectra to scale up and create well-paying jobs right here on Prince Edward Island and in Nova Scotia. This project demonstrates the growing potential of Atlantic Canada’s biotechnology cluster to be a world leader.”