Shantha Biotech to expand capacity

Shantha Biotechnics Limited has decided to invest Rs 50 crore in a new suite to expand its Hepatitis B vaccine manufacturing capacity.

French biosciences company, Merieux Alliance, which had recently acquired 60 per cent stake in Shantha Biotechnics, will be supporting the activities of the Hyderabad-based company in expanding its business in vaccines and biosimilars globally.

"Shantha Biotech will be the global hub for vaccine development initiative," Merieux Alliance chairman, Alain Merieux, told mediapersons here on Wednesday.

According to Shantha Biotechnics managing director Varaprasad Reddy, the company will be expanding its research and development activity and proposes to double the number of suites from the existing eight.

With Merieux Alliance acquiring the majority stake, Reddy was hopeful that the company's turnover would be doubled in the next financial year.

In 2005-06, Shantha Biotechnics posted a turnover of Rs 90 crore. In the current financial year, it was expected to achieve a turnover about Rs 130 crore.

Newly appointed executive chairman of Shantha Biotechnics, Georges Hibon, said the French company would lend its management expertise and through its network would provide Shantha Biotechnics access to global markets.