Sanofi Plans €1.3 Billion Investment for Insulin Plant in Germany

03 Jul, 2024

Sanofi Plans €1.3 Billion Investment for Insulin Plant in Germany

Sanofi, the French pharmaceutical leader, is set to invest between €1.3 billion and €1.5 billion in its Frankfurt facility, which manufactures the insulin brand Lantus. This decision, reported by Handelsblatt and Reuters, marks a shift from the initial plan to move Lantus production to France, opting instead to enhance their German operations.

This substantial investment is expected to bolster the German economy, which has been grappling with high interest rates, rising living costs, and persistent inflation. In a similar move, Daiichi Sankyo, another major pharmaceutical company, announced a €1 billion investment in a cancer research center near Munich and another in Cambridge, Massachusetts.

Ken Takeshita, Daiichi Sankyo's global head of research and development, noted the significance of these research centers in strengthening the company's global drug discovery efforts. He emphasized the potential for innovation through collaborations with business partners and academic institutions, aiming to improve the quality of life worldwide.

Sanofi recently reported strong Q1 2024 results, with a 6.7% increase in sales, driven by the success of Dupixent, which treats asthma and dermatitis, showing a 24.9% increase to €2,835 million. The company projects Dupixent sales to reach approximately €13 billion in 2024. Vaccine sales also rose by 5.6%, led by Beyfortus, while new pharmaceutical launches surged by 90.5%, reaching €606 million, driven by ALTUVIIIO and Nexviazyme.

Sanofi CEO Paul Hudson expressed optimism for 2024, highlighting the company's focus on strategic priorities and the transformation of its product portfolio. Hudson emphasized Sanofi's commitment to becomin