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Perrigo meets demand

This article was originally published in The Tan Sheet

Executive Summary

The private labeler increases its manufacturing capacity by 10 percent and its production of OTC tablets by 3 billion a year with the addition of a $25 million, 62,000-square foot facility in Allegan, Mich. The company announces the 18-month construction project Oct. 15, a month after adding a 160,000 square-foot manufacturing facility in its $44 million acquisition of JB Laboratories in nearby Holland, Mich., and a week after acquiring Mexican store-brand manufacturer Laboratorios Diba for $25 million (1"The Tan Sheet" Oct. 13, 2008, p. 3). Spokesman Art Shannon says Perrigo planned the expansion before buying JB and Diba, and it may need more manufacturing capacity. Demand for Perrigo's products "is increasing across the board," he says. "We make 30 billion tablets [annually] and it keeps growing with all the new products that we have. We just need additional manufacturing capacity.

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