Novartis to make multi-year investment in Russia
Aims to strengthen its position in the region
Novartis will invest US$500m in Russia over the next five years to strengthen its position in the country.
The Swiss pharmaceutiucal firm has signed a deal with the city of St Petersburg to build a new manufacturing plant there. Novartis also plans to expand its r&d investments in the region and collaborate with the Russian government.
‘Novartis is making a strategic investment in Russia for long-term growth. This collaboration shows our commitment to contributing to the ambitious healthcare goals of the Russian government,’ said Joseph Jimenez, chief executive of Novartis.
‘The ongoing partnership with Russia enables us to expand our commercial presence in a key emerging market.’
Novartis said the St Petersburg site would produce pharmaceuticals as well as generic products. Construction is scheduled to start in 2011 and the plant is expected to produce approximately 1.5 billion units per year.
Novartis will also collaborate with universities and academia and with emerging Russian private business in different areas of medical science. The scope of these collaborations may include out-licensing of Novartis compounds to Russian companies, in-licensing and scouting for promising drug candidates from Russian scientists and universities, and modelling and simulation activities for clinical trials.
Additionally, Novartis has made a commitment to double its investments in drug development in clinical trials in Russia and expects to enroll approximately 4,000 individuals by the year 2013.