60 new jobs are to be created in Ballinasloe by generic medicines manufacturer Chanelle Pharma.
The company is to invest €5m in expanded distribution and manufacturing operations over the next five years.
The investment will see the relocation of the firm's pet food and accessories distribution business from Loughrea to Ballinasloe.
A new warehouse and manufacturing facility will be developed at the IDA Ireland Business and Technology Park there.
The company will also convert its existing Chanelle Pet premises in Loughrea to a new 35,000 sq ft manufacturing facility.
"Chanelle Pharma continues to grow and our Loughrea HQ is now at capacity," said founder Michael Burke.
"Despite the global pandemic we continue to see strong market demand for both our animal and human health products.
"Our future delivery pipeline is extensive and we are continuing to invest in and improve our manufacturing operations to further increase our delivery performance to our customers," he added.
Chanelle Pharma already employs 570 people at its headquarters in Loughrea.
It also has offices and warehouses in Oranmore.
The company was founded over 35 years ago by vet Michael Burke and has grown to become the largest Irish manufacturer of generic medicines for animals and humans.
In the year to the end of April its sales were up 11% compared to the same period a year earlier, at €149m.
It exports its products to 96 countries including EU states, Australia, New Zealand, Japan, South Africa, countries across the Middle East and the US.
The business supplies 10 of the top 12 human generic multinational companies.
The news was welcomed by Tánaiste Leo Varadkar who said it was a real boost to the local community and further evidence of the attractiveness of Ballinasloe as a place to invest.
Enterprise Ireland and IDA Ireland have also welcomed the news.
"In the course of a remarkable career, Michael Burke has built a truly world class company in veterinary and human pharmaceuticals," said Leo Clancy, Enterprise Ireland CEO.
"The company's purpose-built facilities located on its Loughrea campus are a testimony to his vision and determination," he said.
"Chanelle’s continued growth, driven through sustained investment in Research and Development, has generated hundreds of jobs for people in East Galway and beyond," he added.
