VICTORIA – Environmental technology company Flexible Solutions International, Inc., (FSI), based in Victoria, has announced its intention to acquire a production line capable of filling large numbers of vials with injectable drugs than can be helpful with diabetes and weight loss.
FSI is the developer and manufacturer of biodegradable polymers for oil extraction, detergent ingredients and water treatment as well as crop nutrient availability chemistry. The company also manufactures biodegradable and environmentally safe water and energy conservation technologies. FSI is increasing its presence in the food and nutrition supplement manufacturing markets.
“The drug compounding industry is a logical progression for FSI. But, it is a capital intensive, high risk, high reward business,” says CEO Dan O’Brien. “We hope to de-risk our possible entry by securing sales prior to further expenditure and by looking for partners. Only if we can de-risk sufficiently, will we proceed.”
FSI has identified a very large revenue and profit opportunity in injectable diabetes/weight loss drugs, which are in short supply, and the company would like expand into that market. They see it as the most profitable expansion of their business that might become accessible in the next several years. Diabetes/weight loss drugs represent a market place of many tens of billions, which are typically dominated by major drug companies.
Clean room production of injectable drugs requires a fully automated production line. Currently, wait times for such lines are in the range of 18 months and the cost for a line capable of 150 vials per minute is $13 – $15 million. As part of FSI’s due diligence in this business, they found a complete, nearly unused line of this size for US$2.5 million, and they bought it and take possession in July.
FSI has progressed from good manufacturing practice to food grade certification and production over the last three years. The next step of certification is advancing to a 503B sterile drug compounding clean room. They have developed the skills to operate in clean room environments as part of their food/nutrition division.
The time frame for this expansion, if it proceeds, is one to three years.
FSI’s NanoChem Solutions Inc. subsidiary specializes in biodegradable, water-soluble products utilizing thermal polyaspartate (TPA) biopolymers. TPA beta-proteins are manufactured from the common biological amino acid, L-aspartic and have wide usage including scale inhibitors, detergent ingredients, water treatment and crop enhancement. Along with TPA, this division started producing other crop enhancement products as well. In 2022, the Company entered the food and nutrition markets by obtaining FDA food grade approval for the Peru IL plant.
The other divisions manufacture energy and water conservation products for drinking water, agriculture, industrial markets and swimming pools throughout the world.
Business Examiner Staff
