Kodak to manufacture drugs: Kodak a company that most of us known to produce cameras and films in the past has now shifted the focus on manufacturing drugs.
The Company, otherwise called Eastman Kodak, and which for years dominated the camera and film industry until technology pushed them out of business, has found a new venture.
According to an article in the Wall Street Journal, Kodak has bounced back and this time, not producing cameras but manufacturing drugs. This is after the company secured a 765 million dollars loan that will be used to manufacture drugs.
The more will create as many as 350 jobs in this new business venture and production is expected to top in the next 5 years where it is expected that it will account for 25% of all non-biologic, non-antibacterial generic pharmaceuticals.
The companies’ drug operation will be based on their existing Specialty Chemicals Group which is used for pharmaceuticals, industrial specialties, personal care, electronics, agrochemicals, graphics security and emerging energy technologies.
According to Jim Contineza, Kodak’s Chairman and CEO, the company expects the pharmaceutical ingredients to make up 30% to 40% of Kodak’s business over time, which could bring in the much need revenue.
The loan obtained by Kodak is of its kind under the US Defense Production Act, even as more pharmaceutical companies race against time to find a cure or vaccine for COVID-19.
Kodak’s venture into manufacturing drugs is no surprise given that many companies are struggling to stay afloat during this period.