Health sovereignty: EUROAPI supports the supply of essential medicines to France and Europe

Increased production capacity of opioid pain relievers by 2027 through innovative processes
Antibiotic production re-launch project and securing anti-inflammatory manufacturing to meet public health needs as part of the Important Project of Common European Interest (IPCEI)

Paris – June 13, 2023 - EUROAPI is further addressing health sovereignty concerns in France and Europe. The Group is announcing several initiatives to increase its production capacities for several active pharmaceutical ingredients listed as essential medicines by the French authorities.

EUROAPI’s Francopia¹ subsidiary dedicated to controlled substances², will invest in R&D activities on its Vertolaye (Puy-de-Dôme) site. These R&D activities aim to increase EUROAPI’s production of morphine and its derivatives, as well as their antagonists used as antidotes, by 2027.

At the plant extraction stage, the Group aims to develop an innovative process that could increase productivity between 20% and 30% and shortening industrial cycle time to help building up strategic stocks. This innovative process would also improve solvent recycling and save energy.
At the chemical synthesis stage, EUROAPI plans to invest in more flexible technologies and equipment that would enhance production capacity by 15% to 20%.

"EUROAPI projects are emblematic of what we are striving for when it comes to health sovereignty: increase our production capacity or relocate medicines that are essential for the health of the French people, building on the development of innovative production processes that are more competitive and environmentally friendly. These projects are part of the eight new relocation projects announced today in Ardèche by the President of the Republic, which will allow us to significantly reduce our dependence on non-European imports on a number of drugs over the next five years,” said Mr. Roland Lescure, Minister Delegate in charge of Industry.

"EUROAPI is proud to address health sovereignty challenges identified by the French Government and to fight drug shortages", said Karl Rotthier, Chief Executive Officer of EUROAPI. "Innovation will enable us to increase our production in order to ensure the sustainable, competitive and integrated manufacturing of pharmaceutical intermediates and active ingredients in Europe, such as anti-inflammatory drugs and antibiotics, all essential to public health."

Once the R&D projects have been successfully completed, EUROAPI plans further investments to increase its production capacity. Total investments could reach €70 million, of which approximately 15% in R&D and 85% in capex, that would be deployed from 2026. These investments will be partially funded by the French State via France 2030.

In addition, as part of the Important Project of Common European Interest (IPCEI) currently under review by the European Commission, EUROAPI has presented innovative projects to help cover the need for currently imported critical medicines such as macrolide antibiotics and corticosteroids, by 2030.

For corticosteroids (including methylprednisolone) used for their anti-inflammatory and immunosuppressive effects, EUROAPI’s ambition is to develop state-of-the-art processes and technologies at the Vertolaye site.
With regard to the macrolide antibiotics used to treat infectious diseases, the project to relaunch production would be deployed at the Saint-Aubin-lès-Elbeuf (Seine-Maritime) site and would enable EUROAPI to expand its portfolio in this global market.

About EUROAPI

EUROAPI is focused on reinventing active ingredient solutions to sustainably meet customers’ and patients’ needs around the world. We are a leading player in active pharmaceutical ingredients with approximately 200 products in our portfolio, offering a large span of technologies, while developing innovative molecules through our Contract Development and Manufacturing Organization (CDMO) activities.

Taking action for health by enabling access to essential therapies inspires our 3,450 people every day. With strong research and development capabilities and six manufacturing sites all located in Europe, EUROAPI ensures API manufacturing of the highest quality to supply customers in more than 80 countries. EUROAPI is listed on Euronext Paris; ISIN: FR0014008VX5; ticker: EAPI). Find out more at www.euroapi.com and follow us on LinkedIn.

Media Relations Contact:

Laurence Bollack
Mob.: +33 (0)6 81 86 80 19
mr@euroapi.com

Investor Relations Contact:

Sophie Palliez-Capian
Mob.: +33 (0)6 87 89 33 51
sophie.palliez@euroapi.com

Forward-Looking Statements
Certain information contained in this press release is forward looking and not historical data. These forward-looking statements are based on opinions, projections and current assumptions including, but not limited to, assumptions concerning the Group’s current and future strategy, financial and non-financial future results and the environment in which the Group operates, as well as events, operations, future services or product development and potential. Forward-looking statements are generally identified by the words “expects”, “anticipates”, “believes”, “intends”, “estimates”, “plans” and similar expressions. Forward looking statements and information do not constitute guarantees of future performances, and are subject to known or unknown risks, uncertainties and other factors, a large number of which are difficult to predict and generally outside the control of the Group, which could cause actual results, performances or achievements, or the results of the sector or other events, to differ materially from those described or suggested by these forward-looking statements. These risks and uncertainties include those that are indicated and detailed in Chapter 3 “Risk factors” of the Universal Registration Document approved by the French Financial Markets Authority (Autorité des marchés financiers, AMF) on April 14, 2023, under number R.23-009 and the Amendment to Universal Registration Document approved by the AMF on April 25, 2023 under number R.23-015. These forward-looking statements are given only as of the date of this press release and the Group expressly declines any obligation or commitment to publish updates or corrections of the forward-looking statements included in this press release in order to reflect any change affecting the forecasts or events, conditions or circumstances on which these forward-looking statements are based.

¹Company specializing in controlled substances 100% owned by EUROAPI
² Cf EUROAPI’s 2022 Universal Registration Document – Chapter 3