The company, which employs about 300 people in Iceland, mostly in production and quality control, expects to start production at the new facility by the end of this year.
After expansion the capacity of the Hafnarfjordur site will be about 1.5 billion tablets per year. The site produces many of Actavis" latest generics and specialises in product launches. Around 95% of its capacity is exported.
Actavis Group employs more than 10,000 people in 40 countries, including about 570 in Iceland.
The Hafnarfjordur site is ISO 14001 and OHSAS 18001 certified and runs on sustainable energy, using electricity from hydropower and geothermal heating.
The company's main production plant in Iceland is based outside Reykjavik and began operation in 1998.
Both plants in Iceland comply with GMP Good Manufacturing Practice) standards.
