Merck is constructing a billion factory and laboratory facility in Delaware.
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Merck is constructing a billion factory and laboratory facility in Delaware.

Merck & Co., a prominent pharmaceutical company headquartered in New Jersey and recognized as Montgomery County’s largest private employer, has announced a substantial investment of nearly billion for the establishment of a new manufacturing facility and laboratory at the former Chestnut Run center, located just outside Wilmington, Delaware. This ambitious project, referred to as the Merck Wilmington Biotech facility, is set to focus on the production of antibody-drug conjugates, an innovative class of therapies used in cancer treatment, further enhancing Merck’s portfolio that already includes the renowned cancer medication, Keytruda.

The groundbreaking ceremony, which took place on Tuesday and was attended by Delaware Governor Matt Meyer, marks a significant step in the project following the state’s decision to allocate up to million in public subsidies to support Merck’s expansion. The new facility will not only contribute to the production of cutting-edge cancer therapies but is also expected to create at least 375 new jobs in Delaware, joining the approximately 10,000 employees Merck currently has across its labs and offices in Montgomery County.

This move comes at a time when the biotechnology and biomanufacturing sectors in the Philadelphia area are experiencing a slowdown following a period of significant investment and growth during the late 2010s. The new Merck site is part of a broader redevelopment initiative for the former DuPont area, led by the MRA Group, a suburban Philadelphia developer. MRA Group, which has a history dating back to 1991, is converting the site into a hub for biotechnology companies, branded as the Chestnut Run Innovation Science Park, commonly referred to as CRISP.

In addition to the Merck facility, the development plan includes the construction of a Marriott Residence Inn and a childcare center, ensuring that support infrastructure is in place for employees and their families. MRA Group is also involved in other biotech projects in the region, further underlining the area’s commitment to fostering a robust life sciences ecosystem. These projects are strategically located near key institutions like the University of Pennsylvania and other healthcare facilities.

While the establishment of the biomanufacturing site represents a positive development for the local economy, it is contrasted by Merck’s recent decision to close its Cherokee plant located in Northumberland County, Pennsylvania. This closure will result in the idling of 163 workers, raising concerns about the broader implications for the workforce in the region.

As the project progresses, the Merck Wilmington Biotech facility is anticipated to play a crucial role in advancing the company’s research and production capabilities, while contributing to the revitalization of Delaware’s biotechnology landscape.

This story is ongoing and updates will follow as new information becomes available.

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