PRNewswire
Thane (Maharashtra) [India], December 11: Fermenta Biotech Limited (BSE: 506414) (Bloomberg: FERMENTA.IN) (Reuters: FERM.BO), India's leading manufacturer of premium-grade nutritional ingredients, intermediates, nutritional premixes and green chemistry for the global markets, today announced that its Board of Directors has approved a capital investment of INR 110 crore for expanding capacities at its existing Dahej, Gujarat facility.
* Investment in new and expanded capacities for high-growth business verticals
* Commercial-scale production of plant-based Vitamin D3 following India patent grant
* Enzyme capacity expansion for green chemistry fermentation including CAL-B Lipase and Penicillin G Acylase
* Commercial- scale production of Vitamin D3 derivatives
* Reinforces Fermenta's leadership in Vitamin D3 and sustainable biocatalysis
* "Decisive step in Fermenta's strategic evolution as leader in complex, science-validated manufacturing at scale," said Prashant Nagre, Managing Director, Fermenta Biotech Limited
The investment underscores Fermenta's commitment to expanding its current position as one of the world's leading fully integrated manufacturers of Vitamin D3 API, and towards advancing Fermenta's current green chemistry proposition.
The comprehensive investment program, spanning multiple high-value segments, leverages Fermenta's proprietary technologies and decades of manufacturing excellence to capture emerging opportunities in India and globally for plant-based Vitamin D3, sustainable biocatalysis, and advanced nutritional ingredients.
The investments will be implemented in phases across FY26 and FY27, using an optimised mix of internal accruals and debt.
The investment at Dahej will expand capacity across:
Plant-Based Vitamin D3
Establishment of commercial-scale manufacturing for plant-based Vitamin D3, a breakthrough innovation for which Fermenta has recently received process patent protection in India.
This pioneering development represents a significant technical achievement as Fermenta becomes among the first companies globally to commercialize sustainable plant-derived Vitamin D3, addressing the rapidly growing market demand for vegan-compliant and sustainable nutritional ingredients. The patented technology positions Fermenta uniquely to serve the expanding plant-based nutrition segment across pharmaceutical, dietary supplement, and food fortification applications.
Green Chemistry Enzymes
Significant capacity expansion for industrial enzymes, specifically CAL-B Lipase and Penicillin G Acylase (PGA), which serve as critical biocatalysts in pharmaceutical manufacturing and chiral chemistry applications.
The company's efforts in developing and promoting its Cal-B Lipase are bearing fruit with growing customer acceptance and the investment will meet increased demand anticipated for these products in the medium to long term.
Fermenta's competitive differentiation stems from its pioneer status as India's first PGA manufacturer since 1986--the proprietary Novel PGA (NPGA) technology delivers industry-leading conversion rates for amoxicillin and ampicillin synthesis--and the DILBEADS immobilization platform that enables exceptional operational stability. These immobilized enzymes enable sustainable, eco-friendly manufacturing processes for semi-synthetic antibiotics and fine chemicals, aligning with the global pharmaceutical industry's transition toward greener production methods.
The capacity expansion aligns with Indian companies' investments in penicillin G and semi-synthetic penicillin manufacturing under the Production Linked Incentive (PLI) scheme. The PLI scheme is catalysing our customers' domestic manufacturing of antibiotics including penicillin G, and products that require Penicillin G Acylase (PGA) enzymes for commercial-scale synthesis of semi-synthetic antibiotics.
Vitamin D3 Derivatives
Establishment of commercial-scale manufacturing for Vitamin D3 derivatives, including Calcifediol--a novel Vitamin D3 analog representing the next generation of Vitamin D metabolites with enhanced clinical relevance for bone health and therapeutic applications.
This strategic expansion positions Fermenta to address the growing demand for specialized, high-value Vitamin D3 formats across pharmaceutical and nutritional segments. Calcifediol, for example, is particularly valuable for clinical interventions requiring swift correction of Vitamin D deficiency and for patients with impaired hepatic hydroxylation capacity.
The capacity expansion will enable Fermenta to commercialize these technologies at scale, adding high-value formats of Vitamin D3 derivatives to Fermenta's global portfolio. This diversification within the Vitamin D3 value chain strengthens Fermenta's position as a comprehensive solutions provider, capable of delivering both standard and specialized formats to meet the evolving needs of pharmaceutical manufacturers, dietary supplement producers, and animal nutrition companies worldwide.
Comment from Prashant Nagre - Managing Director, Fermenta Biotech Limited:
"The continued growth in Vitamin D3 is structurally driven by the widespread global prevalence of Vitamin D deficiency and a sustained increase in awareness across all demographics. Importantly, while Vitamin D3 usage has historically been concentrated in skeletal health, recent scientific evidence is accelerating adoption across non-skeletal applications. This expanding therapeutic relevance strengthens demand fundamentals and underpins our long-term growth outlook for the Vitamin D3 segment.
As one of the first companies globally to commercialize plant-derived Vitamin D3, we are addressing the fast-growing vegan and sustainable nutrition megatrend. Adding high-potency Vitamin D3 derivatives also expands Fermenta's Vitamin D3 offerings.
Our enzyme platform, particularly CAL-B Lipase and Penicillin G Acylase, address the pharmaceutical industry's urgent need for sustainable biocatalytic processes. With nearly four decades of pioneering expertise since we became India's first PGA manufacturer in 1986, we are uniquely positioned to capitalize on this transformational shift towards green chemistry.
The INR 110 crore investment represents a decisive step in Fermenta's strategic evolution as we strengthen our proposition of delivering complex, science-validated manufacturing at scale. The investment aligns perfectly with our vision to deliver sustainable solutions that create value for customers while addressing critical societal needs.
With our DBT-approved R&D Excellence Centre and global-scale manufacturing capabilities, we are confident these expanded capacities will drive meaningful growth and profitability in the coming years."
About Fermenta
Fermenta Biotech Limited (www.fermentabiotech.com) delivers best-in-class, science-validated nutritional ingredients, green chemistry and environmental solutions across pharmaceuticals, dietary supplements, food & beverage, veterinary, and animal nutrition industries. Our state-of-the-art manufacturing facilities located at Kullu (Himachal Pradesh), Dahej (Gujarat), and Tirupati (Andhra Pradesh), supported by the R&D Excellence Centre at Thane (near Mumbai) drive Fermenta's comprehensive portfolio of premium vitamins, nutritional premixes and ingredients that exceed the unique needs and stringent regulatory standards of over 400 discerning customers in more than 60 countries. With decades of expertise at global-scale complex manufacturing, Fermenta also provide research-based custom solutions in green chemistry, APIs & intermediates, and environmental solutions.
Safe Harbour Statement
Statements in this document relating to future status, events, or circumstances, including but not limited to statements about plans and objectives, market opportunities, competitive positioning, slump sale transaction potential, the progress and results of research and development, potential project characteristics, project potential, and target dates for project related issues are forward-looking statements based on estimates and the anticipated effects of future events on current and developing circumstances. Such statements are subject to numerous risks and uncertainties and are not necessarily predictive of future results. Actual results may differ materially from those anticipated in the forward-looking statements due to various factors including market conditions, regulatory changes, competitive dynamics, and other business risks. Fermenta Biotech Limited assumes no obligation to update forward-looking statements to reflect actual results, changed assumptions, or other factors, except as and when required by applicable law.
Contact
Varadvinayak Khambete | varadvinayak.khambete@fermentabiotech.com
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