AstraZeneca reveals $570m investment in Canada

AstraZeneca has unveiled plans to invest around $570 million in Canada and add around 700 new jobs, describing the county as a "growing global hub" for clinical trials.

The C$820 million investment revolves around a new, larger office facility in the Greater Toronto area and will see AZ's Canadian headcount expand "across all areas of the business," according to a company statement.

Chief executive Pascal Soriot said the investment reflects the emergence of Canada as a hot spot for life sciences innovation, as well as AZ's confidence in its clinical pipeline and the government's willingness to collaborate with industry.

"We believe the diverse talent pool, together with the network of world-class universities, hospitals, and research centres, will help us bring new medicines to Canadians and patients worldwide," he said.

According to AZ, the investment will also play a part in its ambition to grow sales to $80 billion by 2023, fuelled by the launch of 20 new medicines – of which eight are already on the market.

Invest in Canada figures suggest that the pharma sector contributed C$82.1 billion to the country's GDP in 2023 and received C$2.2 billion in federal funding. It was also ranked number one among the G7 countries in the number of clinical trials per head of population, according to the development agency.

In 2023, AZ announced a C$500 million investment in its Global Clinical Hub in Mississauga, Ontario, to expand its research and clinical trials capabilities, spending around C$230 million in that year, with 210 clinical trials on the go at that time. The company says it has invested C$1.3 billion in the country since that time, creating 1,200 new jobs that have swollen its workforce in the country to more than 2,100.

Last year, it also bought Hamilton, Ontario-based radiopharmaceuticals developer Fusion Pharma for C$3 billion, four years after partnering with the company, in what is believed to be one of the largest research investments made in a Canadian biotechnology company.

The new investment programme is being supported to the tune of just over C$16 million by the state government through its Invest Ontario scheme.

Ontario Premier Doug Ford said it is "fantastic news for Ontario and another testament to the incredible talent, innovation, and opportunities our province has to offer."

The investment in Canada follows other capital projects recently announced by AZ, including a $3.5 billion R&D and manufacturing expansion in the US and the UK and a £450 million ($578 million) vaccines plant in the UK.