Amgen cancels plans of billion-dollar factory in Ireland

THOUSAND OAKS, Calif. Plans for a $1 billion manufacturing plant in Ireland by Amgen, the world’s biggest biotechnology company, were cancelled Thursday, and the company will be eliminating all of its 75 company jobs in the country, according to Bloomberg

Amgen’s decision was based on the “evolving business environment,” the company said in a statement. Amgen said it would shut down its operations in Ireland while plans for the plant were postponed indefinitely.

The California-based company announced last year that it would invest $1 billion into the new manufacturing facility, which would have employed about 1,100 workers in Cork. The plant was intended to produce drugs such as its Aranesp and Epogen anemia treatments, the company said at the time. This year, however, studies revealed that the anemia treatments raised the risk of heart attack, stroke and death at high doses. The stock regained some losses in the last month after the Food and Drug Administration said the medicines should continue to be given to patients at a maximum limit.

While it has been questioned that Amgen could have possibly backed out of its plans in Ireland because of the country’s current economical setting, some say that is not the case.

“Amgen’s decision has been made as a result of a review of Amgen’s operations and is based purely on developments related to the company’s global business,” Irish Trade Minister Michael Martin said in a statement.