- Allergan is considering a major expansion for its Waco, Texas-based manufacturing plant, potentially expanding capacity two-fold and adding hundreds of employees, according to the Waco Tribune.
- The Irish-based company has invested $234 million in capital equipment and infrastructure in the plant over the last 6 years, including an already announced $50 million plus investment in 2016. Allergan CEO Brent Saunders visited the plant last week and indicated to the Waco-Tribune that it is on a short list of targets for further expansion.
- A new study from a professor at Baylor University found Allergan's investments have sparked a overall economic impact (direct and indirect) of $406 million in the Central Texas economy. Allergan has trumpeted the study as an example of the company's contributions to regional economies in the U.S.
Saunders highlighted how Allergan's expansion plans could boost the plants employment by hundreds of employees, from its current 750. Allergan currently manufactures its dry-eye drug Restasis in Waco.
Underneath this announcement, however, lies the pending $160 billion merger between Pfizer and Alelrgan. Completion of that merger could be a factor in determining whether the additional expansion will be carried out. Industry analysts suggest this could be a reminder to Congress of the economic impact the drugmaker has on regional economies.
According to the Baylor study, Allergan contributed annual local property tax revenue of $3.29 million, and is projected to contribute $3.84 million in 2016.
However, even as Allergan considers increasing capacity and adding jobs in Texas, it has cut back at plants in Iceland and New York.