Business
Inotiv, Inc. Announces Additional Site Consolidation Plan in the U.S., Intent to Consult with Employee Representatives for a Proposed Consolidation of Certain European and U.K. Sites, and Update on Site Optimization Plans in Process
WEST LAFAYETTE, Ind., Nov. 29, 2022 (GLOBE NEWSWIRE) -- Inotiv, Inc. (NASDAQ: NOTV) (the “Company”, “We”, “Our” or “Inotiv”), a leading contract research
About this update from Inotiv, Inc.
[{"type":"text","content":"WEST LAFAYETTE, Ind., Nov. 29, 2022 (GLOBE NEWSWIRE) -- Inotiv, Inc. (NASDAQ: NOTV) (the “Company”, “We”, “Our” or “Inotiv”), a leading contract research organization specializing in nonclinical and analytical drug discovery and development services and research models and related products and services, today announced plans to close two isolator facilities in Indianapolis, Indiana, and consolidate them with existing facilities in the U.S. The Company’s subsidiaries in France and the U.K. have also proposed a consolidation plan of two facilities in Gannat, France, and Blackthorn, Bicester U.K., into existing facilities. The Company also provided an update on its previously announced site optimization plans in Virginia, Michigan, and Pennsylvania. Robert Leasure, Jr., Inotiv’s President and Chief Executive Officer, commented, “We are undertaking these initiatives as part of the continuing integration of our RMS business and site optimization strategy. We expect the U.S. consolidation to be completed by the end of fiscal year 2023 with associated costs that are expected to be immaterial. Our subsidiaries in France and the U.K. will be consulting with employee representatives at our facilities at Gannat, France, and Blackthorn, U.K. on a proposed closure of those sites for consolidation into our facilities in Horst, The Netherlands, and Hillcrest, U.K., respectively. We believe that these proposed site consolidations, if approved and implemented, along with the consolidations in the U.S., would optimize investments that we have been making at our facilities in the U.S., Horst, The Netherlands, and Hillcrest, U.K., enhance margins and reduce anticipated capital expenditure needs at the sites we propose closing. The proposed consolidation plans for France and the U.K., if they should proceed, are expected to be completed by the third quarter of fiscal 2023 and the fourth quarter of fiscal 2024, respectively. The facilities in Gannat, France, and Blackthorn, Bicester U.K. are owned by the Company, and if the proposed consolidation plans are approved and implemented, we would pursue selling the facilities.” Leasure continued, “We completed the site closure at Cumberland, Virginia in September 2022 and the facility is currently available for sale. The production operations at the Dublin, Virginia, facility have been transitioned to othe...