Sanofi to Create New API Company

Sanofi announced plans to create a new API supplier aimed at “balancing the industry’s reliance” on APIs sourced from China and India. 

The drugmaker expects the company to rank as the world’s second largest API company, with an estimated $1 billion in revenue by 2022. It will be headquartered in France and include 3,100 employees.

Sanofi is spinning off six of its manufacturing facilities for the new company, but it will retain a 30 percent stake.