Drug-manufacturing facility seen as catalyst for pharma development
By
Karen Unland
The $80.5 million in federal money going into the Edmonton-based Canadian Critical Drug Initiative will do more than secure a domestic supply of crucial medications and support the commercialization of new drug discoveries, says the head of Applied Pharmaceutical Innovation (API).
The investment is also a big step towards attracting more pharmaceutical companies to the region, which would have a profound effect on the diversification of the economy, API CEO Andrew MacIsaac told Taproot.
"This is going to serve as the catalyst of a lot of growth within the sector," he said, suggesting the goal is not so much a drug manufacturing facility as a signal of Edmonton's competitiveness when it comes to attracting life sciences companies. "And then also we'll have a phenomenal increase in the resources that we have to enable the ones that are growing here to succeed and to scale here."
The March 17 funding announcement is unprecedented in its size, MacIsaac said, but it is also just the beginning of further cementing the advantages the Edmonton region has started to assemble when it comes to attracting more companies on the scale of Gilead Sciences, which set up shop here in 2006.
"Edmonton has the makings of a cluster," MacIsaac said. "We just have too few anchor tenants."
The money will go towards a new 40,000-square-foot manufacturing facility and an upgrade of the 72,000-square-foot Biotechnology Business Development Centre at the Edmonton Research Park. The $175-million project will eventually have the capacity to produce up to 70 million doses per year, API estimates.
Much of that capacity will be used to produce small-molecule drugs, the vast majority of which are currently produced offshore.
In non-emergency times, the production lines will also be able to produce novel drugs for clinical trials, which could help companies such as Entos Pharmaceuticals or Hepion as well as the researchers at the Li Ka Shing Institute of Virology, which is partnering with API on the initiative.
That same capacity will be attractive to other drug companies looking for manufacturing facilities, MacIsaac said. In the high-stakes world of patented medicines, where a six-month delay can mean a loss of millions of dollars, having a place where initial production can begin right away significantly lowers the risk of moving to Edmonton.