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Chemplast Sanmar Inks 5-Year Deal to Manufacture Pipeline Active Ingredient

17 May 20243 mins read by Angel One
The Custom Manufactured Chemicals Division signed a letter of intent to manufacture an advanced intermediate for a new pipeline, Active Ingredient (AI).
Chemplast Sanmar Inks 5-Year Deal to Manufacture  Pipeline Active Ingredient
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Chemplast Sanmar Limited’s Custom Manufactured Chemicals Division has secured a significant partnership with a leading global agrochemical innovator. This strategic collaboration formalised through a 5-year letter of intent (LoI) signed on May 16, 2024, positions the Custom Manufactured Chemicals Division as a key player in developing a new pipeline of Active Ingredient (AI).

Manufacturing Expertise for Cutting-Edge Agrochemicals

Under the terms of the LoI, CMCD will leverage its expertise to manufacture an advanced intermediate – a crucial component – for the innovator’s new AI. This collaboration signifies the Custom Manufactured Chemicals Division’s commitment to supporting innovation within the agrochemical industry. Commercial supplies of the intermediate are expected to commence in calendar year (CY) 2025.

State-of-the-Art Infrastructure Ensures Seamless Production:

To fulfil the demands of this new partnership, the Custom Manufactured Chemicals Division will utilise its Phase 2 multi-purpose production block, currently on track for commissioning in Q1 of FY 2025. This advanced facility, coupled with CMCD’s team of qualified chemists and engineers, ensures a seamless and efficient production process for the new intermediate.

Proven Track Record and Diversified Capabilities:

The Custom Manufactured Chemicals Division boasts a well-established reputation for manufacturing advanced intermediates and active ingredients for a global clientele across the agrochemical, pharmaceutical, and fine chemical sectors. Their commitment to continuous investment in state-of-the-art production facilities, pilot plants, and R&D infrastructure allows the Custom Manufactured Chemicals Division to handle various chemistries and processes. This comprehensive expertise makes them a trusted partner for leading innovators in the life sciences industry.

“Today, we are pleased to announce that we have signed another LoI for the supply of an advanced intermediate for a new pipeline AI. This is the 4th LoI we have signed since we commenced on our expansion journey in this division. This development further reiterates our customers’ confidence in Chemplast Sanmar’s wide range of chemical processes and R&D capabilities and is a validation of our focused strategy to deliver specialised molecules at scale to our customers from a world-class manufacturing facility. said Dr Krishna Kumar Rangachari, Deputy Managing Director, Chemplast Sanmar Limited.

He further added, “This win is the outcome of the hard work and perseverance of our talented team of chemists and engineers and is also a reflection of our commitment to growing this business.”

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.

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