Capsugel Investing More Than $25 Million in Increased Production Capacity and Quality Enhancements for its Industry-Leading Vegetarian Capsule Portfolio

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Company Sees Surging Global Demand for its High-Quality Vegetarian Dosage Forms

Capsugel's vegetarian portfolio, which includes Vcaps® Plus capsules (pictured), are preservative-free, GMO-ingredient-free and gluten-free

Capsugel has the world’s broadest and largest portfolio of vegetarian capsules for both the health and nutrition (H&N) and pharmaceutical segments

Capsugel, a global leader in delivering high-quality, innovative dosage forms and solutions, today announced that the company is investing more than $25 million to increase production capacity and deliver further quality enhancements for its industry-leading vegetarian capsules. The investment is enabling a combination of new production lines and technology upgrades at four manufacturing locations in Capsugel’s global network: Greenwood, South Carolina, U.S.; Puebla, Mexico; Colmar, France; and Sagamihara, Japan. These investments began in late 2014, and the majority of the funding is taking place in 2015.

“Consumers’ appetite for clean-label products is at an all-time high, and continuing to grow. This trend has contributed to a significant increase in demand for high-quality vegetarian capsules,” said Guido Driesen, President and Chief Executive Officer, Capsugel. “Capsugel has the world’s broadest and largest portfolio of vegetarian capsules for both the health and nutrition (H&N) and pharmaceutical segments. By continuing to invest in capacity and quality, we are further strengthening our ability to meet the growing demand we are seeing from customers around the world.”

Capsugel’s vegetarian portfolio includes Vcaps®, Vcaps® Plus, DRcaps™ and Plantcaps® capsules, all of which are preservative-free, GMO-ingredient-free and gluten-free. The company is investing in all four products – with a particular emphasis on ramping up production of its premium Vcaps® Plus vegetarian capsules, which deliver excellent performance on customers' filling machines, provide dynamic branding opportunities and may offer technical advantages for pharmaceutical product formulations.

“Given our size and scale, Capsugel has an unmatched ability to address global market demand by significantly expanding our production capacity,” said Erasmo Schutzer, Sr. Vice President and Chief Marketing Officer, Capsugel. “We are committed to investing in the production capacity, technology and quality systems necessary to continue delivering high-quality, innovative solutions to our customers.”

ABOUT CAPSUGEL
Capsugel is a global leader in delivering high-quality, innovative dosage forms and solutions to its customers in the health care industry. The company’s Hard Capsule business offers customers the broadest portfolio of gelatin, vegetarian, and other specialized capsule technologies. Capsugel’s Dosage Form Solutions (DFS) business utilizes an array of proprietary technologies and specialized manufacturing capabilities to solve customers’ most pressing product development challenges, including bioavailability enhancement, modified release, abuse deterrence, biotherapeutic processing, and inhalation formulation. The company's fast-to-clinic program streamlines product development from pre-formulation through clinical and commercial supply for finished dosage forms. Headquartered in Morristown, N.J., Capsugel serves more than 4,000 customers in more than 100 countries. For additional information, visit http://www.capsugel.com.

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For media inquiries, please contact Frank Briamonte at Frank.Briamonte@capsugel.com or
Christina Chnaider at Christina.Chnaider@capsugel.com.

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Christina Chnaider
Capsugel
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