Abbott Laboratories, an international distributor of healthcare products, will invest $270 million on a new manufacturing plant in Tipp City, Ohio, where it will employ 240 workers.
Abbott officials said they plan to build "a nutrition manufacturing facility" to produce two of the company's fastest-growing brands, Ensure and Glucerna, for the North America market. The plant will begin operations in late 2013. The state-of-the-art plant will specialize in aseptic packaging technology. Aseptic packaging has many benefits including the ability to expand the use of new ingredients, to shorten product development time, and to reduce energy use during manufacturing.
"As the U.S. population continues to age, particularly baby boomers, this new plant will enable us to meet the fast-growing demand for our leading adult liquid nutrition products, Ensure and Glucerna," said John C. Landgraf, executive vice president of global nutrition, Abbott. "It will be a key addition to our global manufacturing network that will allow the company to gain important operational efficiencies."
"Abbott Nutrition's U.S. headquarters and other operations are in Columbus, and we look forward to expanding our presence in the state with this facility," added Landgraf. "We appreciate the collaborative efforts of Gov. John Kasich and Tipp City Manager Jon Crusey and their development teams."
This growth is supported by attractive pediatric and adult nutrition market fundamentals, increasing global awareness of the importance of nutrition to overall health and well being, and the rise of an emerging-market middle class, an Abbott official said.
In October, Abbott surprised investors and analysts with the announcement that it would spin off its branded drug business into a separate company by the end of 2012. Company executives said the split would allow investors to separately value Abbott's businesses. The remaining core of Abbott Labs will consist of the company's nutritional, generic drug, and medical device units. After the split is complete, nutritionals will make up Abbott's largest business with annual sales of roughly $6 billion.