Estonian biotechnology company Icosagen has completed a €45 million expansion programme that brings therapeutic protein discovery, development and GMP manufacturing together at a single site.

The investment includes a new GMP manufacturing facility designed to support development and clinical production of biologic medicines.

The expansion was supported by an €18 million loan from the European Investment Bank, backed by the InvestEU programme, alongside funding from Icosagen.

Located in Tartu, Estonia, the new facility operates in accordance with European GMP requirements and is intended to support the development and manufacture of complex protein therapeutics for biotechnology and pharmaceutical companies.

Icosagen said the investment strengthens its ability to support projects from early-stage therapeutic protein discovery through to clinical manufacturing.

The company has spent almost 30 years developing technologies for the discovery, engineering, expression, purification and analytical characterisation of therapeutic proteins, antibodies and recombinant biologics.

Its scientific focus includes complex biologic formats such as multispecific antibodies and antibody-derived therapeutics, areas that have attracted increasing industry interest as developers seek new approaches to targeting disease.

Prof Mart Ustav, founder and chief executive officer of Icosagen, said: “The completion of this investment program represents an important strategic milestone for Icosagen.

“It strengthens our ability to connect early therapeutic protein development with CMC and GMP manufacturing in one integrated pathway, with fewer handovers and a deeper understanding of each molecule from the start.”

The company employs more than 200 scientists and said the expanded site will support activities including antibody discovery, protein engineering, cell line development, process development, analytical testing and GMP manufacturing.

According to Icosagen, integrating manufacturability and developability assessments earlier in development may help identify technical challenges before programmes reach later-stage manufacturing.

The European Investment Bank said the project also supports wider efforts to strengthen biotechnology infrastructure within Europe.

Karl Nehammer, vice-president of the European Investment Bank, said: “Strengthening Europe’s biotechnology value chain is essential for our competitiveness and resilience.

“With this investment, the EIB is supporting a fully integrated model that connects discovery to clinical manufacturing in one place – helping European innovators bring complex biologics to patients faster, while reducing reliance on external manufacturing capacities.”

The expansion comes as European policymakers and industry stakeholders continue to focus on strengthening regional biotechnology and pharmaceutical manufacturing capabilities, particularly for advanced biologics and other complex therapies.

For Icosagen, the investment marks the completion of a multi-year programme aimed at increasing capacity for biologics development and clinical-stage manufacturing while expanding its role within the European biotechnology sector.