Teva Pharmaceutical is to increase the workforce at its Waterford-based subsidiary by 165 people over the next five years.
As part of an IDA-supported initiative, the generic medicines maker will invest €65 million in its IVAX Pharmaceuticals Ireland plant, which was bought by the Israeli multinational company two years ago.
The company employs 650 staff.
Minister for Enterprise, Trade and Employment Micheál Martin said the investment will significantly increase the production capacity of the site, allowing it to compete successfully with economies of scale in global markets.