Novo, the world's biggest producer of diabetes drugs, said the project is expected to be finalised in 2024 and create about 160 new jobs.
The investment would establish additional capacity in research and development for manufacturing of active pharmaceutical ingredients (API), the main biologically active components of medicines, to supply its global clinical trials.
"This investment in expanding our clinical API capacity in Bagsvaerd is an important step to ensure the continuous progress of our development pipeline," said senior vice president of Chemistry, Manufacturing and Control Development at Novo Nordisk, Jesper Boving.
Novo Nordisk currently produces API at two facilities in Denmark and one in Clayton in the United States, a spokesperson told Reuters.
($1 = 7.2572 Danish crowns)
(Reporting by Rahat Sandhu and Stine Jacobsen, editing by Terje Solsvik)
