AstraZeneca to invest $1.5 billion in cancer drug production facility in Singapore

AstraZeneca Plc is going to build a $1.5 billion manufacturing facility in Singapore. This facility will make antibody-drug conjugates, which are a new type of cancer treatment. The plant will be the first of its kind for Astra, starting from making the medicines to the end. It is set to open in 2029 and will not produce any carbon emissions. The CEO, Pascal Soriot, wants Astra to be able to supply drugs to big markets like the U.S. and Europe on its own. This move is to reduce reliance on China and to avoid shortages like those seen during the pandemic. GSK Plc, a company from the U.K., opened a manufacturing facility in Singapore in 2022 to make a key ingredient for antibody drug conjugates. Astra's shares in London did not change much in early trading. They have gone up by 14% this year, which is less than GSK's increase. Antibody-drug conjugates are becoming important for Astra's cancer treatments. They have the potential to replace traditional chemotherapy for some patients by delivering the treatment directly to cancer cells while protecting healthy cells. The new plant in Singapore is a big sign of trust in the country's ability to make biopharmaceuticals. AstraZeneca's plan to build a $1.5 billion manufacturing plant in Singapore for antibody-drug conjugates is supported by the Singapore Economic Development Board. The facility will start being designed and built later this year and should be ready to operate by 2029. AstraZeneca's CEO, Pascal Soriot, believes Singapore is a great place for this investment because of its strong reputation in complex manufacturing. AstraZeneca's revenues and profits for the first quarter of the year were better than expected, thanks to high demand for its cancer drugs. The company's total sales increased by $1.8 billion to $12.7 billion, beating analyst estimates. AstraZeneca's diabetes medicine, Farxiga, also saw a big increase in sales. As a result, the company expects its revenues and earnings to grow by a low double-digit to low-teens percentage this year. Despite the success, AstraZeneca's Covid-19 vaccine has been taken off the market due to safety concerns. The vaccine is said to have saved many lives during the pandemic, but the company decided to stop selling it for commercial reasons. AstraZeneca's new manufacturing facility in Singapore shows its commitment to developing advanced cancer treatments and expanding its global reach.