Pharma/fine chemicals roundup—13 May 2014
6:00 AM MDT | May 13, 2014 | By DEEPTI RAMESH
Teva’s API business reports fall in sales
The active pharmaceutical ingredient (API) business of Teva Pharmaceutical Industries (Petaḥ Tiqwa, Israel) reports a 6.7% fall in sales in the first quarter of 2014, compared with the first quarter of 2013, to $179 million. The decrease resulted from production issues and management changes in the company’s API business, Teva says. Earnings figures for the API business were not disclosed. Teva has the largest API business in the world in terms of sales.
IMCD acquires Swedish distributor of pharmaceutical ingredients
Specialty chemicals and food ingredients distributor IMCD Group (Rotterdam) says that it has signed an agreement to acquire the agency business of Jucker Pharma (Stockholm), a distributor of raw materials to the Nordic pharmaceutical industry. Financial details of the deal have not been disclosed. The acquisition will bring a number of new customers to IMCD within the active pharmaceutical ingredient (API) industry. Jucker Pharma will continue to operate in a limited capacity in fields outside of IMCD’s core distribution business. The transaction is expected to be completed on 31 May 2014, IMCD says.
Codexis narrows loss
Codexis (Redwood City, CA), a developer of biocatalysts for the pharmaceutical and fine chemical industries, reports a net loss of $6.37 million in the first quarter of 2014 compared with a net loss of $9.62 million in the first quarter of 2013. First-quarter sales decreased 38.3%, to $7.07 million.
“Codexis is off to a solid start in 2014, now fully focused on our core strategy of growing our biocatalyst business serving pharmaceutical drug development and manufacturing,” says John Nicols, president and CEO of Codexis. “Revenues and gross profits for the first quarter were in line with our plan, and we drove operating costs down markedly, aided by the sale of our Hungarian subsidiary, leading to a very modest $300,000 cash burn for the first quarter. Looking forward, we are encouraged by the growing prospects of installing Codexis biocatalysts in our customers' drug development pipelines, and that is translating into a growing, exciting research and development project portfolio for our world leading scientists to deliver upon,” Nicols says.
Perrigo's API segment reports fall in sales
The active pharmaceutical ingredient (API) business segment of Perrigo (Dublin) reports a 22.1% fall in sales in the company’s fiscal third quarter ended 29 March 2014, compared with the year-ago period, to $32 million. Operating profits for the API segment decreased 41.8% in the quarter, to $6.8 million. The API segment's third quarter sales declined due primarily to a decrease in sales of existing products of $17 million as a result of increased competition on certain products, partially offset by $8 million in new product sales, Perrigo says. Margins contracted due primarily to product mix, lower volumes resulting in lower absorption of fixed costs and increased investments, Perrigo says.
Merck KGaA to invest in biosimilars, eyes pharma acquisitions
Merck KGaA (Darmstadt, Germany) plans to invest €100 million ($137.6 million) this year in biosimilars, a new business being developed by its Merck Serono unit. In addition, Merck is eyeing pharma acquisition opportunities, particularly in the United States. This news emerged during the company’s recent annual general meeting.
Umicore world’s first company to receive CEP-certificate for zinc oxide
Umicore (Brussels) says its facility at Eijsden, the Netherlands is the first plant in the world to have been granted the CEP-certificate for zinc oxide by the European Directorate for the Quality of Medicines and Healthcare (EDQM). “This is an important milestone for Umicore’s activities in zinc oxide APIs. The CEP-certificate is a recognition of our commitment, sense of responsibility and hard work to continue supplying the pharmaceutical, veterinary and personal care industry with the highest quality zinc oxide,” says Koen Demesmaeker, business unit manager/zinc chemicals at Umicore.
The Falsified Medicines Directive, an EU legislation, came into force in 2013 indicating that active pharmaceutical ingredients (APIs) and excipients in pharmaceutical products need to be manufactured in full compliance with GMP. For the first time customers have a GMP-compliant alternative for zinc oxide which Umicore is selling under the product range Zinc Oxide ‘Pharma-GMP’, the company says. This allows manufacturers to be compliant with the new directive and at the same time facilitates the registration of their products under the EU legislation as the certificate itself grants the necessary approvals, Umicore says.