Regeneron Pharmaceuticals Inc (NASDAQ:REGN), a leading science-driven biopharmaceutical company, today announced that it is investing an additional $350 million in its Limerick Industrial Operations and Product Supply (IOPS) bioprocessing campus and will add another 200 jobs, bringing the total expected job creation in the Limerick area to 500 jobs and total investment to $650 million by the end of 2017.
The company acquired the former Dell Computer facility in Limerick and achieved planning approval in April 2014 for its first IOPS site outside of the United States. When the investment was initially announced in December 2013, a $300 million investment with 300 jobs was planned for delivery by the end of 2016. With this expansion of scope, the Limerick IOPS campus will house the largest-scale bulk biologics production facility in Ireland.
With approximately 300 full-time employees, 200 contingent workers and 550 construction workers in place, recruitment is underway to bring on additional full-time, high-end specialist jobs in commercial manufacturing, process sciences, quality assurance/control and various support functions for scientists, chemists and technicians. At peak, 1,200 contractors were onsite to support development.
Leonard S. Schleifer, M.D., Ph.D., President and Chief Executive Officer of Regeneron, said: “With a growing portfolio of marketed medicines and an innovative pipeline rooted in cutting-edge science and technology, Regeneron is one of the fastest-growing global biopharmaceutical companies. The Limerick facility will play an essential role in ensuring Regeneron delivers on our mission to consistently and repeatedly bring new medicines to patients with serious diseases.”
Dan Van Plew, Senior Vice President and General Manager of IOPS at Regeneron, said: “The entire community has gone out of its way to welcome us and help us create the momentum we need to build this site. Our people – your countrymen – have done something remarkable. In less than two years we have brought a dormant building back to life, and are well on our way to building a complex, high-quality facility in industry-leading time. Our hundreds of current employees, contractors and trades people are top notch. The decision to create 200 new full-time roles and invest an additional $350 million in Limerick was an easy one to make because of our hiring and trades experiences over the last two years. Regeneron is an exciting company with excellent career opportunities. We are growing, and we need talented people to join us in creating something truly special here in Limerick.”
Taoiseach Enda Kenny TD said: “I’m delighted to welcome this exciting additional $350 million investment by Regeneron with 200 additional jobs for Limerick on the same day that the Government is publishing its Mid West Action Plan for Jobs. We are intent on keeping this recovery going by keeping Ireland competitive and by attracting more investment and jobs into the regions. Regeneron’s decision to expand so significantly is testament to the talent pool and attractive business environment available to companies in Ireland.”
Speaking at the announcement today in Limerick, Minister for Jobs, Enterprise and Innovation Richard Bruton TD said: “A key part of our Action Plan for Jobs has been attracting companies into Ireland through the IDA’s work and ensuring that every region in the country benefits from job creation. Regeneron, a leader in the Biopharma industry, set up in Limerick in 2014 and has quickly expanded with the support of my Department and IDA. I am delighted with today’s announcement that a substantial investment and a further 200 jobs will be created in Limerick. It is great news for Limerick and the wider region. I wish the team at Regeneron every success for the future.
Speaking at the announcement, Minister for Finance Michael Noonan TD said: “Regeneron’s announcement of a $350 million investment in Limerick and the creation of 200 jobs is yet another great announcement for Limerick and the Mid-West region. Regeneron’s ambitious expansion plans demonstrate the company’s commitment to the region. Today’s announcement is further evidence that the Government’s strategy to grow the economy is working and the economic recovery is spreading to regions throughout the country”.
Speaking at the announcement, Minister for Education and Skills Jan O’Sullivan TD said: “This is very positive news for Limerick. Just two years ago Regeneron made a major investment in Limerick, resulting in 300 high quality jobs. The fact that the company will now add another 200 jobs underlines the attractiveness of Limerick for rapidly growing, innovative companies. I want to commend the IDA for the relationship it has developed with Regeneron in recent years. Limerick is competing on the international stage for major investment and winning. This is great news for the city.”
Commenting on the investment, Martin Shanahan, CEO, IDA Ireland said: “This $350 million investment announcement from Regeneron is a huge boost for the Mid-West Region. Biopharma is thriving as an industry in Ireland right now, and Regeneron is a prime example of this. This new facility will provide employment to people at all levels from science, engineering and admin backgrounds.”
Regeneron, the #1 employer in the biopharma industry according to Science magazine for three years running, has also been featured as one of the world’s most innovative companies since 2013 in Forbes magazine (currently ranked #4).
Regeneron’s 400,000 square-foot, state-of-the-art biologics production facility in Limerick is now operational with the first production line on track to enter validation before year end 2015. Regeneron has worked closely with the Department of Jobs and IDA Ireland on the development of its operations in Ireland.
In addition to IOPS’ significant operations in Limerick, Regeneron also has a growing multi functional team in Dublin supporting its business in Europe. Regeneron’s total headcount in Ireland is expected to approach 550 by the end of 2017. (Original Source)
Shares of Regeneron Pharmaceuticals closed last Friday at $514.59. REGN has a 1-year high of $605.93 and a 1-year low of $360.10. The stock’s 50-day moving average is $509.14 and its 200-day moving average is $512.00.
On the ratings front, Regeneron has been the subject of a number of recent research reports. In a report issued on October 2, Morgan Stanley analyst Matthew Harrison downgraded REGN to Hold, with a price target of $593, which implies an upside of 15.2% from current levels. Separately, on October 1, Piper Jaffray’s Edward Tenthoff reiterated a Hold rating on the stock and has a price target of $607.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Matthew Harrison and Edward Tenthoff have a total average return of 3.8% and 9.3% respectively. Harrison has a success rate of 43.3% and is ranked #1546 out of 3788 analysts, while Tenthoff has a success rate of 40.0% and is ranked #685.
The street is mostly Bullish on REGN stock. Out of 13 analysts who cover the stock, 7 suggest a Buy rating and 6 recommend to Hold the stock. The 12-month average price target assigned to the stock is $635.17, which represents a potential upside of 23.4% from where the stock is currently trading.
Regeneron Pharmaceuticals Inc is a fully integrated biopharmaceutical company. It discovers, invents, develops, manufactures, and commercializes medicines for the treatment of serious medical conditions.