Pharmaceutical venture announces $500M expansion in Northwest Austin | Northwest Austin

Some context

The expansion is the first major milestone part of the joint venture by ICU Medical Inc. and Otsuka Pharmaceutical Factory Inc., which began in 2025. ICU Medical, which is headquartered in California, specializes in the development, manufacturing and sale of medical devices. Otsuka Pharmaceutical Factory, which is based out of Japan, is a global IV solutions manufacturing subsidiary of Otsuka Holdings Co.

In late 2024, the two entities announced the creation of a joint venture to provide global IV solutions manufacturing networks and bring additional supply chains to North America.

In recent years, states have begun proposing legislation to ban the use of IV bags or medical devices made with DEHP, or di(2-ethylhexyl) phthalate. According to Breast Cancer Prevention Partners, the man-made chemical is used to make IV bags soft and flexible, and studies have shown it can be associated with an increased risk of cancer.