Pharma/fine chemicals roundup—30 April
9:46 AM MDT | April 30, 2013 | By DEEPTI RAMESH
Lonza results in line with expectations
Lonza, in its business update announcement for the first quarter of 2013, says that its business performance was solid and in line with expectations. “Earlier this year, we announced significant changes to our organization, aligning ourselves directly with markets we serve. The newly focused organization is taking hold while delivering on our first-quarter results,” says Richard Ridinger, CEO of Lonza. “At the same time, we are working broadly to assess the performance and efficiencies across of our operations as well as administrative functions, and we are making good progress; I am pleased with the results so far. Our first-quarter results are in line with the expectations we have set out,” Ridinger says. Lonza expects that the company’s overall performance in the second half of 2013 will be stronger than the in first half, and the company has reiterated its 2013 Ebit guidance growth of about 10%. The company, however, announced that it has decided to permanently close its biocides manufacturing site at Swords, Ireland, in June.
Covidien reports rise in API sales
The active pharmaceutical ingredient (API) business of Covidien (Dublin) reported an 11.4% rise in sales in the company’s second quarter, ended 29 March, compared with the year-ago quarter, to $127 million. Sales of APIs were considerably higher than the previous year, largely attributable to a substantial increase in sales of narcotic API products, Covidien says. During the 6-month period ended 29 March, the API business reported a 1.8% rise in sales, compared with the corresponding period of the previous fiscal year, to $220 million.
Ipsen expects Increlex supply interruption due to issues at Lonza Hopkinton site
Pharmaceutical company Ipsen (Paris) says that it expects a supply interruption for its product Increlex, a treatment for growth failure in children, as a result of the manufacturing issues at Lonza’s Hopkinton, MA, site that supplies the active ingredient for Increlex. FDA issued a warning letter in 2011 to Lonza’s pharmaceutical and active pharmaceutical ingredient manufacturing facility at Hopkinton, for deviating from cGMP. Lonza is working with FDA to address these issues and Ipsen is addressing management of the shortage to reduce its impact on the patients and their families, Ipsen says. The supply interruption is expected in the second quarter of 2013 in the United States and in third quarter of 2013 in Europe and the rest of the world. Resupply before the end of 2013 is not currently anticipated, Ipsen says. Increlex sales totaled €28.3 million ($37.3 million) in 2012.
AMRI and Ono Pharmaceutical broaden collaboration
Albany Molecular Research Inc. (AMRI; Albany, NY) says it has entered into a new five-year service agreement with Ono Pharmaceutical (Osaka). AMRI, under the terms of the agreement, may provide a range of services from early drug discovery to cGMP manufacturing. The two companies have already agreed to medicinal chemistry projects within the new framework to collaborate on additional hit-to-lead and lead optimization for two new molecules, with the work to take place at AMRI’s medicinal chemistry laboratories at Albany. Ono has been utilizing AMRI’s integrated global facilities and capabilities for projects ranging from early drug discovery, including high-throughput screening, biology support, and computer-aided drug discovery, to multiple medicinal chemistry programs and a variety of drug development and cGMP programs, AMRI says.
Teva establishes global specialty medicines group
Teva Pharmaceutical (Petaḥ Tiqwa, Israel) says it has created a group named Global Specialty Medicines (GSM). Rob Koremans will serve as president and CEO of GSM, and he will continue to serve on Teva’s executive committee. The newly created GSM “combines the strong local presence we have established in high-quality and accessible generics with our global scale and capabilities in specialty medicines,” says Jeremy Levin, president and CEO of Teva. “The GSM group will work seamlessly with our regional generics teams. They will complement each other and establish a single, differentiated Teva presence in the market.”
Bayer to acquire Conceptus for $1.1 billion
Bayer HealthCare has signed a merger agreement with Conceptus (Mountain View; CA), the developer of the Essure procedure—a leading nonsurgical, permanent birth-control method. Bayer will launch a public tender offer to acquire all shares in Conceptus within the next 10 business days in a transaction valuing Conceptus at approximately $1.1 billion. The move aims to broaden Bayer’s portfolio in the field of contraception.
Beyond IHS Chemical Week:
Cipla ready with big capex on ground
from Business Standard, India
Cipla, among the top pharmaceutical companies in India, is set to play a bigger role in the domestic market and beyond. In the last 5 years, the company invested about 30 trillion Indian rupees in capacity expansion—the most among its peers to create India’s biggest manufacturing set-up. The company plans to spend another Rs4 trillion in fiscal-year 2014 to scale its active pharmaceutical ingredients plants and product development.