Eli Lilly and Company, Novast Breaks Ground On State-Of-The-Art Chinese Manufacturing Facility

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Lilly and Novast Announce Ground Breaking of State of the Art Manufacturing Facility Expansion in Nantong, China

NANTONG, China, March 5, 2014 /PRNewswire/ -- Lilly and Novast Laboratories Ltd. (Novast), today announced that they have commenced the expansion of manufacturing and development facility capacities in Nantong, Jiangsu, China. The expansion is a result of Lilly’s strategic partnership signed in 2012 with Novast to create a platform of Lilly-branded generic medicines. The facility will be located on a 22-acre campus located inside the Free Trade Zone of the Nantong Economic Technology Development Area (NETDA). The upcoming facility will be built employing a quality by design approach, designed by the world's leading engineering consultants and is a direct culmination of a synergistic teamwork between Lilly and Novast personnel. The facility will be state of the art and world class with emphasis on total quality and safety at each step of the design process. “This day marks a new chapter for Novast as we are transitioning from commercializing quality prescription products in the United States to focusing on catering the same to the China domestic needs through the collaboration platform with Lilly,” said Dr. Zhang, President and CEO of Novast Holdings, Ltd.

“We are delighted to see the facility expansion of Novast under the strategic partnership of Lilly-Novast on brand-generic medicine. In Lilly’s emerging markets business, we are focused on providing patients with innovative medicines from our own pipeline, as well as select Lilly-branded generic medicines that meet Lilly Global Quality Standards. The additional manufacturing capabilities provided by Novast will allow us to better deliver on that strategy," commented Mr. Alfonso Zulueta, Sr. Vice President and President of Emerging Markets, Eli Lilly and Company. The expansion will involve the addition of a 260,000 square foot manufacturing facility, enabling the production of both sustained release and containment solid oral dosage prescription pharmaceuticals with an annual additional capacity of more than 2.2 billion units. The company plans to invest 60 – 70 million US dollars and is anticipated to complete construction by the end of 2015. When the facility becomes fully operational it will not only provide quality products benefiting patients, but also help the local economy in the creation of more than 350 highly skilled additional jobs. “As an expat living and working in the Nantong area for the past 8 years I am extremely impressed and grateful to NETDA and Nantong Municipal Government for their never-ending support and continued cooperation during all these years," commented Prasad Pinnamaraju, Senior Vice President and COO of Novast Holdings, Ltd.

Mr. Andrew Hodge, President of Lilly China, indicated that the expanded manufacturing facilities in Novast will impose a strong support to Lilly China’s full value chain strategy, which is an integration of business presence including Lilly-owned manufacturing, sales and marketing, R&D and branded generics.

About Eli Lilly and Company

Lilly is a global health care leader that unites caring with discovery to make life better for people around the world. We were founded more than a century ago by a man committed to creating high-quality medicines based on the best science of the day, and today we remain true to that mission in all our work. Across the globe, Lilly employees work to discover and bring life-changing medicines to those who need them, improve the understanding and management of disease, and give back to communities through philanthropy and volunteerism. Based in Indianapolis, Indiana, Lilly conducts clinical research in more than 55 countries and markets products in 125. Additional information about Lilly is available at www.lilly.com.

About Novast Laboratories LTD

Novast Laboratories, LTD., a subsidiary of Novast Holdings, LTD, is a pharmaceutical company based in Nantong, Jiangsu Province, China, with a strong focus on design and development of quality finished products for the worldwide markets. Novast Laboratories, Ltd. has been operating in its own facilities located in Nantong since 2006. The company currently has over 300 employees who are successfully trained using global quality standards with a team of global management. The facilities have been successfully USFDA inspected and has been manufacturing products for the US market since 2012.

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