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UCB SA - BNP Paribas Fortis

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Issuer is developing from its strong presence in epilepsy into additional neurological indications such as<br />

movement and sleep disorders, building on its reputation in the field of neurology.<br />

(f) Experienced scientific and management teams<br />

Scientists at the Issuer are well-regarded in their respective fields, and management teams have<br />

significant experience in the pharmaceutical industry. Within the Issuer, the scientists and management<br />

teams work together to bring products through to patients efficiently and are committed to the Issuer’s<br />

goal of putting the patient at the focal point of innovation, with the aim of producing new therapies<br />

which have a tangible positive impact on sufferers of severe CNS and immunology disorders.<br />

The key strategies which the Issuer employs to develop and maximise the potential in its business<br />

include:<br />

(a) Successful commercialisation and launch of new products<br />

The <strong>UCB</strong> Group is focused on the successful launch of new products with the aim of achieving<br />

commercial success. In 2008, five new products were launched, including Cimzia® (in the U.S.),<br />

Toviaz® (a product developed by the Issuer but marketed by Pfizer) (in the EU), Vimpat® (in Germany<br />

and the UK), Keppra®XR (in the U.S.) and Xyzal® oral solution (in the U.S.); and during the first half<br />

of 2009, four further products were launched: Vimpat® (in the U.S.), Toviaz® (in the U.S.), Neupro®<br />

(in the EU) and Cimzia® (in the U.S.).<br />

(b) Continued commercialisation of products no longer protected by patents<br />

While Keppra®, a market leader in the treatment of epilepsy in the U.S. and Europe, ceased having<br />

exclusivity from generic competition in the U.S. in November 2008, during 2008 its worldwide net<br />

sales grew by 23 per cent. over 2007 sales to €1,266 million. The negative impact of Keppra®‘s loss of<br />

exclusivity on U.S. sales was partially compensated by the launch of Keppra®XR in the U.S. and<br />

Vimpat® in Europe during 2008, and the expansion of Keppra® into significant emerging markets,<br />

such as China, India and Korea, where sales in 2008 increased by 47 per cent., compared with 2007, to<br />

€60 million. Further, sales of Keppra® in Europe increased by 29 per cent. during 2008. Keppra® is<br />

also being co-developed by the Issuer and Otsuka Pharmaceuticals in Japan, with regulatory approval in<br />

its first epilepsy indication expected in 2010. In Europe, following expiry of the basic protection for the<br />

active ingredient, levocetirizine, Xyzal® continues to perform well. However recent registration of<br />

various generic versions of levocetirizine and attacks on the patent covering its key indications may see<br />

sales decline.<br />

Some products, such as Nootropil®, are no longer actively promoted in major market geographies by<br />

the Issuer, but they retain a steady or slowly declining market share and sales, and therefore provide a<br />

reliable source of income for the business and are continuing to grow in some of the Issuer’s major<br />

emerging country operations.<br />

(c) Focus on development of the pipeline<br />

The strategic split of the research and development function between <strong>UCB</strong> NewMedicines and<br />

Global Projects & Development is designed to allow better allocation of resources between the<br />

development of molecules to clinical proof-of-concept and bringing such concepts through to the<br />

A11250830/2.25/23 Oct 2009 55

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