Sanofi overtakes Pfizer as world’s biggest drug company

by emma 1. November 2011 12:50

Pharma Industry News

Sanofi is expected to overthrow Pfizer’s nine-year reign as the world’s biggest drug maker, according to new research.

The French pharmaceutical company is expected to retain the top spot until at least 2016, with Pfizer falling to third place behind Novartis due to the loss of Lipitor’s US patent protection, according to EvaluatePharma (see figure one).

The report says that Sanofi’s numerous acquisitions over the last decade have contributed largely to the company’s success, gaining $20 billion after it bought out Genzyme.

Sanofi’s mergers over the last decade have contributed a great deal to its current position, starting with its $30 billion deal with Synthélabo in 1999.

It is expected that the company will retain its top position until at least 2016, mainly thanks to sales of enzyme replacement therapies through its acquisition of Genzyme.

Also, the company’s addition of Cerezyme and Myozyme blockbuster drugs will help fill the gap left by Lovenox, Taxotere, and Plavix, which loses US patent protection in 2012.

Pfizer’s $68 billion buyout of Wyeth in 2009 helped fill the gap left by Lipitor, but it will be difficult to replace the drug’s global sales figure of $13.4 billion seen in 2008, which set the record as the biggest selling medicine.

Following its loss of US patent protection in November 2011, Lipitor sales are estimated to shrink to $2 billion by 2016.

However, pipeline products such as rheumatoid arthritis (RA) pills tofacitinib and Eliquis are expected to boost Pfizer’s drug sales after 2016, which will help retain the company’s position in the top-five pharmaceutical companies.

Merck’s four-year outlook is seen as bleak despite its takeover of Schering-Plough for $41 billion in 2009, with only 1% annual sales growth predicted, conceding to European companies GlaxoSmithKline and Roche to overtake the company.

EvaluatePharma predicts that Johnson & Johnson’s recent pipeline successes will benefit the company in the coming years, despite its drugs arm being substantially smaller than the five biggest pharma companies.

It is thought that Novartis will be Sanofi’s closest competition over the next few years, with strong sales growth from Gilenya and Tasigna due to Diovan’s loss of patent protection next year.

Figure 1:

World's top 15 pharmaceutical companies

McLaren helps GSK drive performance

by emma 19. September 2011 09:47

Pf industry news

GSK and the McLaren Group have entered into a long term strategic partnership until at least 2016.

The McLaren Group will share its knowledge in engineering, technology, analytics, and strategic modelling to help improve performance across GSK’s global divisions.

Ron Dennis, Executive Chairman, McLaren Group and McLaren Automotive, says the partnership “engages two great British companies” in a “multi-faceted and ground-breaking way”.

A new state-of-the-art learning facility will also be built as part of the agreement at McLaren’s Headquarters in Woking by 2013.

The partnership will initially focus on GSK’s manufacturing, research and development and consumer healthcare divisions.

Glaxo will evaluate whether it can use McLaren’s engineering and technical expertise to its own manufacturing processes. It’s believed that McLaren’s approach, technology and processes it applies to its Formula 1 team could lead to improvement in GSK’s production line performance and improve cost and customer service.

The pharma company’s R&D organisation is also examining whether McLaren’s expertise and technology could improve their own clinical research processes by increasing the speed of trial design, and allowing for real time patient monitoring and treatment adjustment.

Also its Consumer Healthcare business will work alongside McLaren’s Formula 1 unit which analyses team performance during a Grand Prix to enable GSK to respond quicker to competitor activity and customer needs, and inform decision making on various issues. Analytical and performance management tools developed and used by the Group will also be utilised to improve GSK’s ability to come to faster decisions around longer term investments.

Andrew Witty, GSK, CEO, says the partnership highlights the company’s innovative thinking which continues to look for “inspiration and fresh perspective” from outside the sector on how to achieve its strategic goals.

“I am delighted to announce this partnership with McLaren which brings together two British companies whose continued success hinges on the ability to innovate and rapidly respond to change and competitor activity,” said Mr Witty. “McLaren has an unparalleled reputation for innovation built on rigorous analytics and fast decision making.”

McLaren boss Ron Dennis says the agreement is the first between the Group and a major pharmaceutical corporation. “Specifically, our intention is that GSK will harness McLaren’s world-beating Formula 1-bred technology, processes and operational dynamism, in order to enhance its performance across a wide variety of its divisions in a way that none of its competitors can match,” he added.

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