Piramal Pharma Solutions launches $90m U.S. expansion to boost sterile injectables and ADC manufacturing

Piramal Pharma Solutions, a subsidiary of Piramal Pharma Limited (NSE: PPLPHARMA, BSE: 543635), has announced a transformative $90 million investment to expand two of its U.S.-based manufacturing facilities, located in Riverview, Michigan and Lexington, Kentucky. The project, which broke ground on June 25, 2025, is a significant step in strengthening Piramal’s position in the global sterile injectables and antibody-drug conjugate (ADC) markets—two sectors experiencing rapid demand and strategic relevance in biopharmaceutical production.

With this initiative, the global Contract Development and Manufacturing Organization (CDMO) aims to bring commercial-scale capacity enhancements to both sites while reinforcing its integrated ADC platform, ADCelerate™, to better meet the evolving needs of biopharma clients and patient populations worldwide.

How does Piramal Pharma’s $90 million investment align with growing demand for sterile injectables and ADC therapies?

This capital infusion into Piramal Pharma Solutions comes at a critical juncture as the sterile injectables market is projected to surpass $20 billion by 2028, according to institutional forecasts. The company’s expansion will enhance the commercial readiness of two pivotal facilities, supporting broader healthcare trends like precision oncology and advanced biologics delivery.

In Riverview, Michigan, Piramal Pharma will add a commercial-scale suite to expand payload-linker development and manufacturing, which is crucial for ADC safety and efficacy. Meanwhile, the Lexington, Kentucky facility—dedicated to sterile fill/finish operations—will receive a 24,000-square-foot expansion, complete with advanced filling lines, lyophilizers, and laboratory capabilities.

These moves position Piramal Pharma to scale up production of high potency active pharmaceutical ingredients (HPAPIs) and complex injectables, addressing pressing therapeutic needs across oncology, immunology, and chronic disease care. Analysts view this as a forward-looking strategy aligned with global CDMO market shifts toward high-value manufacturing services.

What role do the Riverview and Lexington facilities play in Piramal Pharma’s ADCelerate™ strategy?

The Riverview facility is central to Piramal’s ADCelerate™ offering, a comprehensive service platform for antibody-drug conjugates. By producing payload-linkers—a core component responsible for delivering cytotoxic payloads to targeted cancer cells—this site underpins the safety, stability, and targeting accuracy of ADCs.

The expansion will enable commercial-scale production of these payload-linkers, a critical step given the increasing number of ADCs entering late-stage clinical trials and commercialization. The enhanced capacity is expected to go online by the end of 2025, giving Piramal a competitive edge in securing partnerships with biotech companies and large pharmaceutical clients focused on oncology and immunotherapy.

Meanwhile, the Lexington site acts as the final step in the integrated ADC pipeline, specializing in aseptic fill/finish services. The upcoming expansion, slated for completion by late 2027, will more than double the site’s capacity, increasing annual batch throughput from 104 to over 240. With new technologies like commercial-scale lyophilizers and precision vial handling systems, the site will deliver greater flexibility for high-mix, low-volume biologic therapies.

What is the strategic significance of the sterile injectables market to Piramal Pharma’s long-term growth?

The sterile injectables sector is one of the fastest-growing segments in pharmaceutical manufacturing, driven by rising demand for biologics, vaccines, and critical care formulations. Injectable formats allow for more accurate dosing, rapid absorption, and targeted therapy delivery—benefits particularly relevant in oncology, autoimmune diseases, and rare genetic disorders.

Piramal Pharma’s Lexington expansion addresses a projected supply gap in sterile injectables by adding new manufacturing lines, lyophilization capabilities, and automated vial finishing systems. This facility, already an integral part of its ADC pipeline, will also serve broader client needs across clinical and commercial injectable products.

With rising regulatory focus on quality, Piramal’s investment emphasizes current Good Manufacturing Practice (cGMP) compliance and state-of-the-art automation, signaling its commitment to becoming a partner of choice in high-standard sterile injectable production.

How do analysts and institutions view Piramal Pharma’s U.S. expansion strategy and growth trajectory?

Institutional sentiment around Piramal Pharma’s growth strategy remains favorable, with analysts highlighting the expansion as a critical lever to increase contract manufacturing share in the U.S. and global biologics markets. By focusing on sterile injectables and ADC manufacturing—two high-value, high-complexity segments—Piramal is reinforcing its niche in differentiated CDMO services.

Observers also point to the onshoring trend in pharmaceutical manufacturing, with regulatory and supply chain stability encouraging companies to invest in U.S.-based facilities. Piramal’s decision to grow within the U.S. ecosystem reflects both market foresight and an effort to support biopharma clients looking to de-risk global supply chains.

The company’s dual focus on technical innovation and community investment has also drawn institutional praise. The Lexington facility expansion alone will generate 40 full-time jobs, contributing to local economic development and enhancing the region’s profile as a pharmaceutical manufacturing hub.

What comments have local and industry stakeholders made about Piramal Pharma’s facility expansions?

At the June 25, 2025 groundbreaking ceremony in Lexington, Mayor Linda Gorton emphasized the city’s growing prominence in the life sciences sector, citing its top-ranked pharmacy school and supportive economic environment. She hailed Piramal’s expansion as a “vote of confidence” in Lexington’s biopharma capabilities.

Commerce Lexington President and CEO Bob Quick echoed these sentiments, noting that biotech has become a strategic development focus for the region. He praised the expansion as a “milestone moment” for both Piramal and Greater Lexington’s biotech aspirations.

Industry partners, including IPS-Integrated Project Services CEO Jim Stephanou, celebrated the continued collaboration, highlighting shared goals around technical excellence and speed-to-market in building aseptic manufacturing infrastructure.

What future outcomes are expected from Piramal Pharma Solutions’ $90 million investment in U.S. manufacturing?

The expanded facilities will dramatically increase Piramal Pharma Solutions’ capacity to serve biopharmaceutical clients seeking end-to-end support for complex drug modalities, especially ADCs and biologics requiring sterile injectable delivery. The enhancements will also allow the CDMO to accommodate faster clinical-to-commercial transitions, providing flexibility and scalability for partners across development phases.

Analysts anticipate that this investment will strengthen Piramal’s deal pipeline, particularly with small and mid-sized biotech innovators seeking specialized manufacturing solutions. The company’s integration of HPAPI, linker-payload development, and fill/finish services is expected to position it as a go-to provider in the evolving global biologics market.

By late 2027, Piramal Pharma is projected to significantly expand its share in the U.S. CDMO market, with the Lexington and Riverview sites acting as cornerstone assets. In the longer term, the company’s focus on ADCelerate™ and biologic capabilities may pave the way for partnerships in cell and gene therapy, given its adjacent investment in Yapan Bio.