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As it plans a massive expansion in Holly Springs, Fujifilm Diosynth Biotechnologies is trimming jobs elsewhere in the Triangle.
The Japanese biotechnology company, part of Fujifilm Corp., is undergoing a restructuring of its small-scale business unit that could affect up to 240 employees globally. The cuts include up to 67 employees at the company's site in Research Triangle Park, according to a Fujifilm spokesperson. Sites in Texas, Massachusetts and the United Kingdom will also see employee reductions.
In a business update on Tuesday, Fujifilm Diosynth said its small-scale business unit "has been directly impacted by the short-term challenge of reduced venture capital investment in early-stage research projects, particularly in the cell and gene therapies market."
The restructuring is intended to strengthen and elevate the operational and financial performance of this business unit.
The restructuring "lays the groundwork for a solid foundation from which to build and unlock opportunity in the market, allowing the company the ability to thrive and reinforcing its position as a leading competitor in the industry," Fujifilm Diosynth said in its business update.
The company's RTP campus includes three main buildings with manufacturing space, laboratories and administrative offices. The company has 568 employees at its RTP site.
Fujifilm Diosynth is a contract development and manufacturing organization that works with pharmaceutical and biotechnology companies to produce biologics, vaccines and other advanced therapies. The company last year updated its corporate structure, creating large- and small-scale business units.
The large-scale business unit works with clients that require access to high volumes of production. The company's facility under construction in Holly Springs is included in this business unit.
Fujifilm Diosynth last week announced an expansion at the site, bringing its total planned investment to $3.2 billion. The facility is expected to become operational next year and support about 1,400 jobs by 2031.
The company's small-scale business unit — which includes the RTP site — provides services for clients developing biologics, cell and gene therapies and viral vaccines.
Although the science continues to advance, the cell and gene therapy sector has experienced a slowdown amid broader funding challenges. This has led some companies to cancel or pause previous plans to build manufacturing facilities in the Triangle area.
Fujifilm, in a December briefing of its CDMO and life sciences business, noted the stagnation in the cell and gene market connected to these funding issues. However, the company said it would continue to invest in these areas based on a long-term market growth trend.
