Business
NEXGEL Subsidiary, CG Converting and Packaging, Begins 12,000 Square Foot Expansion of Texas Facility to Support the Expected Growth in Product Demand in 2024
LANGHORNE, Pa., Jan. 09, 2024 (GLOBE NEWSWIRE) -- NEXGEL, Inc. (“NEXGEL” or the “Company”) (NASDAQ: NXGL), a leading provider of medical and over-the-counter
About this update from Nexgel, Inc
[{"type":"text","content":"LANGHORNE, Pa., Jan. 09, 2024 (GLOBE NEWSWIRE) -- NEXGEL, Inc. (“NEXGEL” or the “Company”) (NASDAQ: NXGL), a leading provider of medical and over-the-counter (OTC) products including ultra-gentle, high-water-content hydrogels for healthcare and consumer applications, today announced a 12,000 square foot expansion of its CG Converting and Packaging facility in Granbury, Texas. The expansion will support the expected growth in product demand from its new strategic partnerships as well as continued growth of NEXGEL’s own branded products. The expansion is expected to be completed during the second quarter of 2024. The expansion is funded by the landlord and lease terms will be adjusted to reflect the increase in square footage. The Company is purchasing new automation equipment, which will be financed, to support the expected growth in product demand. Adam Levy, CEO of NEXGEL, commented, “Ahead of the increase in demand we expect from important partnerships like AbbVie and STADA in the summer of 2024, we are pleased to find a mutually beneficial agreement with our landlord at our Texas facility. This expansion will allow us to handle the expected increased volumes of material, provide more efficient fulfilment and shipping services, and increase our overall capacity and efficiency. We have already broken ground and expect to complete the project and be operational well ahead of when we expect these orders to scale.” About NEXGEL, Inc. NEXGEL is a leading provider of healthcare, beauty, and over-the-counter (OTC) products including ultra-gentle, high-water-content hydrogels. Based in Langhorne, Pa., the Company has developed and manufactured electron-beam, cross-linked hydrogels for over two decades. NEXGEL brands include Silverseal, Hexagels, Turfguard, Kenkoderm, and Dermablock. Additionally, NEXGEL has strategic contract manufacturing relationships with leading consumer healthcare companies. Forward-Looking Statement This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) (which Sections were adopted as part of the Private Securities Litigation Reform Act of 1995). Statements preceded by, followed by or that otherwise include the words “believe,” “anticipate,” “estim...