Akzo Nobel positioned for new growth
Akzo Nobel, the international pharmaceuticals, coatings and chemicals company, says it is set for a return to growth following restructurings, investments in innovative products and growth markets, and a strengthening of its financial position.
Akzo Nobel, the international pharmaceuticals, coatings and chemicals company, says it is set for a return to growth following restructurings, investments in innovative products and growth markets, and a strengthening of its financial position.
'Akzo Nobel has reached a turning point for renewed growth,' said ceo Hans Wijers. 'Our efforts to fix pharma and increase the cash generation and growth potential of our businesses have put the company in a strong position for the future.'
Developments at Pharma will be one of the central elements to Akzo Nobel's growth, according to Wijers. The sales decline triggered by the loss of the Remeron patent is expected to bottom out in 2005. Furthermore, there are rising sales of new products such as innovative contraceptives NuvaRing - which has already captured market shares of 2-5% in some countries where it has been launched - and Implanon, which is expected to be launched in the US in 2005. The next product to be launched may be Livial, which could be on the US market by the end of 2006, ac-cording to Wijers.
'In the medium-term, we have five drugs already at, or close to, phase III development, which are scheduled to be submitted as from 2006,' he pointed out. These include asenapine, the promising psychosis drug - patent protected until 2020 - in co-development and co-promotion with Pfizer. In its muscle relaxant franchise, Akzo Nobel has a new class of reversal agent; in fertility, a long-acting weekly injection ovulation inducer; in menopausal treatments, a non-hormonal alternative to HT aimed at reducing hot flushes/night sweats; and in CNS, a non-addictive treatment for chronic sleep disorders aimed at the growing insomnia market. 'The company is stepping up its investments in development and pre-marketing to support all these late stage pipeline opportunities,' he said.
Looking further ahead, Wijers said that the company is actively expanding its biotechnology activities, with a new research centre due to open in the US next year. Biotech already represents nearly 20% of revenues at Akzo Nobel's human pharma business. The new centre will result in higher efficiency and also create a platform for further expansion in the longer term.