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Corporate Brochure
Corporate Brochure
Introduction 3
Facts and Figures 4
Business Strategy 7
Daiichi Sankyo in Europe 8
Research and Pharmaceutical Development in Europe 11
Research Milestones and Highlights from History 12
Research and Development Projects 14
The European Role in the Global Supply Chain 17
Company Development 18
Leading Products 21
Corporate Social Responsibility 22
This is the European version of Daiichi Sankyo’s global corporate brochure.
Contents
About 12,000 medical representatives worldwide provide information to doctors about our products.
Research and development are the basis of our success.
Daiichi Sankyo is a global pharmaceutical company with corporate origins in Japan. We provide innovative products and services in more than 50 countries around the world. With more than 100 years of scientific expertise, our company draws upon a rich legacy of innovation and a robust pipeline of promising new medicines to help patients.
Through the outstanding knowledge and commitment of our 30,000 employees worldwide, we create innovative new medicines, as well as new methods of drug discovery and delivery. We share a passion for innovation, as well as compassion for the patients around the world who are in need of our medicines.
Daiichi Sankyo Corporate Brochure P3
For a more detailed overview of our financial results in the past years, please visit the Global Investor Relations section on: www.daiichisankyo.com/ir/
Facts and Figures As a global pharmaceutical company, we aim to constantly extend our business activities. This approach is also reflected in our future financial targets.
Since our merger in 2006, we have grown from 6.36 billion euros to 8.62 billion euros in net sales.
While in recent years around 60 per cent of our net sales have been generated in the company’s home country, the plan is to turn this ratio around and achieve 60 per cent or more of our sales outside Japan by 2015. Moreover, net sales are targeted to reach approximately 12.5 billion euros (1,500 billion yen) by that time. All regions and affiliates are making their contribution to reaching these goals.
As part of this strategy and in order to better serve patients in mature and emerging markets, we acquired a majority share in Ranbaxy, India’s largest pharmaceutical manufacturer, in 2008. The company is one of the world’s top ten manufacturers of generic medicines.
Heavy Research and Development Investments In order to increase sales and boost the company’s growth, we heavily engage in research and development (R&D).
In 2011, we invested about 1.7 billion euros in the future of the company. This represents 19.7 per cent of net sales, putting our R&D investments well above the pharmaceutical industry average of 15 to 17 per cent.
Daiichi Sankyo Worldwide
1.7 billion euros (185.1 billion yen) of R&D investments worldwide
8.62 billion euros (938.7 billion yen) of net sales worldwide
~31,900 Daiichi Sankyo employees worldwide
~114,000 Shareholders worldwide
Exchange rates: (FY 2007) ¥160.5=€1 / (FY 2008) ¥143.5=€1 / (FY 2009) ¥131.2=€1 / (FY 2010) ¥113.1=€1 / (FY 2011) ¥109.0=€1
Daiichi Sankyo R&D Investments
1800
1600
1400
1200
1000
800
600
400
200
0 2007 2008 2009 2010 2011
1,018
1,285
1,500
1,718 1,698 18.6% of net sales in 2007
21.9% of net sales in 2008
20.7% of net sales in 2009
20.1% of net sales in 2010
19.7% of net sales in 2011Investment in million euros
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Business Strategy To master the challenges of changing economic environments, we developed our unique Hybrid Business Model.
Similar to other research-based pharmaceutical companies, we are active in a high-risk business sector. Before a new pharmaceutical product can enter the market, approximately 1.2 billion euros need to be invested in research and development.
Out of 5,000 to 10,000 tested compounds, only 250 enter preclinical testing, five enter human clinical trials, and one is approved by the regulatory authorities. This development process lasts approximately 10 to 12 years. At the same time, governments in many countries are trying to limit healthcare spending. To master this challenge, we are investing in new markets in developing and newly industrialised countries. In addition, we extended our portfolio to include generic drugs and vaccines.
The Hybrid Business Model In 2008, we acquired a majority share in India’s largest pharmaceutical company, Ranbaxy Laboratories. Ranbaxy is one of the world’s top ten generic manufacturers and its product portfolio comprises a number of well-established generic products. In addition, Ranbaxy has an immense network and marketing capabilities in newly industrialised and developing countries, ideally complementing our portfolio and extending the Group’s direct presence to around 55
countries worldwide. This allows our company to fulfil the medical needs of both industrialised countries and emerging markets in accessing cost-effective, innovative, and generic medicines. The cooperation with Ranbaxy enables more patients and medical professionals to access our pharmaceuticals.
At the same time, we have an excellent opportunity to enter markets where building up our own presence would not be cost-efficient. This example shows how the Hybrid Business Model enables us to capitalise on new growth opportunities.
Partnerships, Licensing, and Acquisitions Few drug companies can achieve long-term growth relying exclusively on their own development pipelines. The goal of our partnership and licensing initiatives is to expand Daiichi Sankyo’s business by partnering on high-potential products that complement our in-house portfolio.
The focus of our acquisition activities are new product candidates, new products, or companies that drive our portfolio in key therapeutic categories. We have a special interest in biotech companies and products or licenses related to the field of oncology.
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Daiichi Sankyo Worldwide
Daiichi Sankyo and Ranbaxy affiliates Daiichi Sankyo affiliates Ranbaxy affiliates
Company Development Two major Japanese companies, both with a long and successful research history, combined their strength in 2005 to master the challenges of a global business.
Like many Japanese firms, our two predecessor companies, Daiichi and Sankyo, concentrated their efforts in the 20th century on their home market and licensed out their own drug developments for other markets to European or American pharmaceutical companies. This is why the great contribution made by Japanese researchers to global healthcare is often unrecognised outside of Japan.
But in the 1980s, Daiichi and Sankyo both started increasing their international presence. One of the highlights of this internationalisation was the acquisition of the Munich-based Luitpold-Werk by Sankyo in 1990.
Because this mid-sized pharmaceutical manufacturer had already set up its own subsidiaries in both Europe and other regions of the world, the move significantly improved Sankyo’s presence in overseas markets.
The Group’s business activities in the United States started in 1961; Daiichi Sankyo, Inc. began operating in the United States in 2006. The organisation, which includes US commercial operations and global clinical development, Daiichi Sankyo Pharma Development, is headquartered in New Jersey.
The expansion of business operations into regions outside of the US and Europe started in the early 1960s when Daiichi opened its first affiliate in Taiwan.
In 2008, in order to better serve patients in mature and emerging markets around the world, we acquired a majority stake in Ranbaxy, a global pharmaceutical company based in India. In doing so, we became the first pharmaceutical company to acquire a leading generics manufacturer in an emerging market, demonstrating that innovation is also a key element of our forward-thinking business model.
A Global Player As of today, Daiichi Sankyo is one of the top twenty pharmaceutical companies in the world with affiliates in over 50 countries. Through the outstanding knowledge and commitment of our 30,000 employees worldwide, we create innovative new medicines, as well as new methods of drug discovery and delivery. We share a passion for innovation, as well as compassion for the patients around the world who are in need of our medicines.
In the different regions worldwide, we market, amongst others, therapies for the treatment of hypertension, dyslipidemia, diabetes, acute coronary syndrome, metastatic melanomas, Alzheimer’s disease, influenza, and infectious diseases, as well as analgesic and inflammatory diseases. As we continue to build on our history of discovery, we are focusing significant research and development efforts on cardiovascular- metabolic disease and oncology.
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Leading Products Daiichi Sankyo delivers innovative products that enhance the lives of millions of people around the world.
Olmesartan At present, our best-selling product is the antihypertensive olmesartan, which generated 2.3 billion euros of sales globally in the fiscal year 2011*. Olmesartan is showing excellent acceptance among health professionals in Europe and worldwide. The active ingredient olmesartan is available in Olmetec® and – together with other blood pressure lowering substances – in Olmetec Plus® (in combination with hydrochlorothiazide) and Sevikar® (in combination with amlodipine besilate). A triple combination, Sevikar HCT®, containing olmesartan with two additional antihypertensives in a single pill, was approved in Europe in 2010.
Prasugrel In February 2009, Efient® was granted marketing authorisation from the European Medicines Agency (EMA). Approval by the US Food and Drug Administration (FDA) followed in June 2009. Its active ingredient prasugrel was discovered by Daiichi Sankyo and our Japanese research partner, Ube Industries. The further development and the promotion of Efient® is being carried out in alliance with Eli Lilly and Company. The new antiplatelet agent is used to prevent atherothrombotic events in patients with acute coronary syndrome (ACS) undergoing percutaneous coronary intervention (PCI). The product is considered to be a key contributor to the company’s expansion in the coming years.
Edoxaban Edoxaban is a novel, once-daily, oral anticoagulant that specifically, reversibly, and directly inhibits factor Xa, an important factor in the blood coagulation cascade. Edoxaban was the first available factor Xa inhibitor in Japan, launched in July 2011 under the brand name Lixiana® for the prevention of venous thromboembolism (VTE) in patients undergoing total knee arthroplasty, total hip arthroplasty, and hip fracture surgery.
For more information, see page 14.
*This data only comprises sales generated by Daiichi Sankyo. Earnings generated via licensing agreements with other pharmaceutical companies are not included.
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Research Milestones and Highlights from History
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Dr Jokichi Takamine First president of Sankyo Co, Ltd.
Dr Katsuzaemon Keimatsu Founder of Arsemin Shokai
Mevalotin® Production Facility Altkirch, France
Luitpold-Werk Munich, Germany
Daiichi Sankyo corporate office Munich, Germany
Production Facility Pfaffenhofen, Germany
1902 Sankyo launches adrenaline, an adrenal cortex hormone agent. It becomes the first blockbuster medicine of the 20th century. It was first isolated by Dr Jokichi Takamine. He becomes the first president of Sankyo Co., Ltd in 1913.
1915 Dr Katsuzaemon Keimatsu founds Arsemin Shokai, the predecessor company of Daiichi, together with five other people. The company’s first production site is Yanagishima in Tokyo. The first product launched is the antisyphilitic agent Arsemin®.
1918 Arsemin Shokai becomes Daiichi Pharmaceutical Co., Ltd. Daiichi means “First” and underpins the company’s approach of developing high-quality, first-in-class medicines.
1949 Both companies, Sankyo and Daiichi, are listed on the Tokyo Stock Exchange.
1961 Sankyo extends its international presence and establishes a representative office in New York. In the same year, Daiichi inaugurates a new central research laboratory in Tokyo.
1977 Luitpold-Werk establishes a second production site in Altkirch (France). At the time, it is one of the most modern facilities in the Alsace region and receives several prizes for its high environmental standards.
1989 Mevalotin®, an epoch-making, HMG-CoA reductase inhibitor, is launched globally by Sankyo. Its active ingredient is pravastatin, a further development of mevastatin, the world’s first statin.
The product is used in the treatment of hyperlipidemia.
1990 Sankyo acquires Luitpold-Werk and thus gains a presence in Europe and Latin America. Meanwhile, Daiichi extends its international presence with an affiliate in South Korea.
2002 Sankyo launches olmesartan, a strategic global product for the treatment of hypertension. It is promoted as Olmetec® in Europe and as Benicar® in the United States.
2005 Sankyo and Daiichi establish a joint holding company named Daiichi Sankyo Company, Limited.
2007 The newly formed Daiichi Sankyo Group commences business operations on 1 April 2007. In the same year, new, state-of-the-art production facilities are opened in Pfaffenhofen (Germany).
2009 A new antiplatelet agent to prevent atherothrombotic events, Efient®, is launched in several European countries, and under the brand name Effient™ in the United States. The medication, based on the active ingredient prasugrel, has blockbuster potential.
In Europe, the sales force capacity is further extended by taking on sales employees from Merck Serono in Ireland and Italy.
1899 Founding of Sankyo Shoten. The start-up is financed jointly by Matasaku Shiobara, Shotaro Nishimura, and Genjiro Fukui. The first product launched is the digestive enzyme Taka-Diastase®. Its active ingredient, taka-diastase, had been extracted from a fungus in 1894 by Dr Jokichi Takamine.
1910 Dr Umetaro Suzuki, who is appointed scientific adviser at Sankyo in 1920, becomes the first person in the world to discover vitamin B1 in rice bran. His work lays the foundation for the theory of vitamins. Vitamin B1 performs manifold functions in the body and is particularly indispensable for the normal functioning of the nervous system. Sankyo markets the vitamin under the brand name Orizanin®.
In the same year the Luitpold-Werk is founded in Munich (Germany).
1916 Neo-Arsemin®, another antisyphilitic agent, is launched by Daiichi’s predecessor company. The company also establishes a US subsidiary in New York.
1937 Daiichi launches Therapol®. It is the first sulphonamide produced in Japan. Sulphonamide drugs were the first antimicrobial drugs, and paved the way for the antibiotic revolution in medicine.
1938 Daiichi establishes a production site in Funabori, Tokyo. It remains in operation until 1982.
1948 Daiichi further advances its antibiotic medicine portfolio with the launch of Teradiazin®, the first sulphadiazine drug to be produced in Japan.
1953 Daiichi starts to promote OTC drugs, which are medicines which do not require a prescription.
1962 Daiichi launches the world’s first antiplasmin medicine, Ipsilon®. Plasmins are enzymes that play a key role in blood thinning. Antiplasmins can be used to foster blood coagulation when patients are suffering from heavy bleeding.
1963 Sankyo establishes its first European subsidiary in Basel (Switzerland).
1964 The German company Luitpold-Werk acquires a small pharmaceutical company in Madrid (Spain). It is transformed into Alfarma S.A.E. – the early roots of the Group’s Spanish affiliate.
1970 The first domestically produced minor tranquiliser, Serenal®, is launched by Sankyo in Japan.
1973 Sankyo’s discovery of the first HMG-CoA reductase inhibitor, mevastatin, marks the origin of the statin class.
Daiichi launches Karoyan®, a medicine for the prevention of hair loss and the treatment of vitiligo, a chronic skin disease. Karoyan® is an OTC medicine and is extremely well-received.
1977 Sankyo enters a new indication area with the launch of Krestin®, a biological response modifier for treating cancer. This is a unique anti-cancer drug obtained from xylostromata and is different from existing chemotherapeutical drugs.
1980s The company’s investigations into pravastatin are the early stages of evidence-based medicine, an approach in which medical decision-making is based on scientific methods and clinical studies with large patient groups.
The Group’s clinical studies on pravastatin in the 1980s involve more than 6,000 patients – an exceptionally high number at the time.
1980 Daiichi establishes a representative office in New York.
1983 Sankyo scientists discover the world’s first glitazone and thus mark the origin of a new class of active ingredients. Glitazones are insulin sensitisers applied in the treatment of diabetes.
1985 Sankyo establishes two international subsidiaries: one in New York and one in Düsseldorf (Germany). This allows the company to conduct overseas clinical trials, which are required for the international approval of newly developed drugs.
In addition, Luitpold founds an affiliate in Austria, marking the company’s business start in this country.
1986 Luitpold-Werk founds another European subsidiary, Panpharma, in Hayes, Middlesex (United Kingdom), marking the start of the Group’s engagement in the United Kingdom.
1988 Daiichi Pharmaceutical Europe is established in Düsseldorf (Germany).
1990s Daiichi scientists develop irinotecan, which is used in cancer therapy.
1991 Daiichi launches ofloxacin, a second generation fluoroquinolone. In the United States, the product is marketed as Floxin®, whilst the Japanese brand name is Tarivid®. Furthermore, the company’s researchers synthesise a factor Xa inhibitor. The experience gained in the process will lead to the development of the oral factor Xa inhibitor edoxaban.
1992 Sankyo is awarded the Okochi Memorial Grand Production Prize for its development of the hyperlipidemic drug pravastatin, which is marketed under a range of names including Mevalotin®.
1993 Daiichi launches Cravit®, a broad spectrum oral antibacterial agent. Its active ingredient is the third-generation fluoroquinolone levofloxacin. Furthermore, the company establishes a new affiliate in London, called Daiichi Pharmaceutical UK Ltd.
1996 Sankyo sets up joint venture, Sankyo Parke-Davis, with Warner-Lambert, headquartered in New Jersey. In 2001, Sankyo buys out Sankyo Parke-Davis, combining all US commercial operations, research, and development into one organisation.
To further evolve its business, Sankyo establishes a Central Logistics Centre in Hiratsuka (Japan).
In the same year, two new affiliates are established in the Netherlands and Belgium.
1997 The German Sankyo affiliate Luitpold Pharma is renamed Sankyo Pharma.
2002 Sankyo acquires Laboratoires Fornet based in Neuilly-sur-Seine, a suburb of Paris, in order to gain a foothold in the French market, one of the major European pharmaceutical markets.
2003 To drive forward its European business, Sankyo licences the two antihypertensives Lopresor® (with the active ingredient metoprolol) and Lomir® (with the active ingredient isradipine) from Novartis for marketing in France, Belgium, Italy, Switzerland, and Portugal.
2004 The global strategic product olmesartan is launched in Japan as Olmetec®. It has been available in Germany and the United States since 2002. In the United States, a fixed-dose combination of olmesartan and hydrochlorothiazide is launched. In the same year, Daiichi establishes a medical research centre in New Jersey (United States).
2006 Daiichi Sankyo Europe is founded as the new European headquarters on 1 July 2006.
2008 To strengthen its oncology pipeline, Daiichi Sankyo acquires the biotech company U3 Pharma in Martinsried, Germany. The acquisition of 63.92 per cent of India’s largest pharmaceutical company, Ranbaxy, marks a milestone in the implementation of Daiichi Sankyo’s Hybrid Business Model.
In addition, Daiichi Sankyo lays the foundation for further growth in Europe by acquiring the marketing rights for the osteoporosis drug Evista® (with the active ingredient raloxifene) from Eli Lilly and Company, and by establishing new affiliates in Istanbul and Dublin.
Moreover, the number of field force employees is significantly increased by taking on highly qualified people from Merck Serono in France, Germany, Ireland, and Turkey.
2010 Five Daiichi Sankyo employees receive the Okochi Memorial Technology Prize for the development of levofloxacin, the first third-generation fluoroquinolone.
2011 A new affiliate is opened in Mexico. In Japan, Daiichi Sankyo receives the first market approval for edoxaban for the prevention of venous thrombo-embolism after major orthopaedic surgery.
Daiichi Sankyo extends its oncology pipeline by acquiring the American biotech firm Plexxikon.
In August 2011, Daiichi Sankyo and its partner receive FDA approval for Zelboraf™. The product, based on the active ingredient vemurafenib, is Daiichi Sankyo’s first oral, targeted anti-cancer therapy for the US market.
Edoxaban Edoxaban is a novel, once-daily, oral anticoagulant that specifically, reversibly, and directly inhibits factor Xa, an important factor in the blood coagulation cascade. Edoxaban was discovered by Daiichi Sankyo and was the first available factor Xa inhibitor in Japan, launched in July 2011 for the prevention of venous thromboembolism (VTE) in patients undergoing total knee arthroplasty, total hip arthroplasty, and hip fracture surgery.
Globally, it is currently in phase III of clinical development for the treatment and prevention of recurrences in adult patients with deep vein thrombosis or pulmonary embolism and the prevention of stroke and systemic embolism in patients with atrial fibrillation (AF). Atrial fibrillation patients are at high risk of thrombotic stroke as blood clots form in the atria which may travel through the blood circulation to block the cerebral vessels. There is a great need for safer, better tolerated, and more convenient anti-coagulants for AF patients.
Venous thromboembolism (VTE) is the term for the generation of a blood clot within a vein, or the subsequent breaking off of that clot into a pulmonary (lung) artery. Patients with diagnosed VTE are treated for three to six months (and sometimes even longer) based on their individual risk profile to prevent a second (recurrent) event.
The new generation of factor Xa inhibitors could greatly facilitate the management of VTE with simple dosing, oral formats, easier monitoring, and no diet restrictions. They also inhibit the coagulation process more specifically than heparins, the current standard of care which was discovered at the beginning of the 20th century.
Notably, we have more than 25 years experience conducting research in the area of factor Xa inhibition and Daiichi Sankyo was the first company to study these compounds in humans.
Oncology Oncology is one of our priority areas, building on our achievements to date. In 1977, Sankyo launched one of the world’s first cancer treatments under the brand name Krestin®, which is still used to fight gastric, colon, and non-small cell lung cancer. And, in the 1990s, Daiichi partnered with Yakult Honsha to develop irinotecan, which is a standard treatment for colon cancer.
We also aim to extend our market position within this field in the future. The oncology area is thus scheduled to significantly contribute to Daiichi Sankyo’s future growth. Today, we have a broad pipeline of oncology candidates focused on unique biologic targets with first-in-class potential that may prove effective in prolonging the life of people with cancer while maintaining or increasing their quality of life. Various agents are currently in phase II and III studies in multiple indications.
Our pipeline includes a mixture of small-molecule and monoclonal antibody agents that target a variety of unique pathways. Unlike chemotherapy, which aims to kill rapidly dividing cells and therefore has an impact on healthy cells too, the new molecules are targeted therapies. This means they are designed to focus on cancer cells. Experts thus predict that they will be better tolerated by patients.
In 2011, the American biotech company Plexxikon joined the Group, thus further extending our oncology pipeline. By building up strategic partnerships with further biotech firms such as MorphoSys, located in Martinsried, near Munich, or the Swedish company BioInvent, we are fostering our position at the cutting edge of
Research and Development ProjectsThe pursuit of new medicines comes from the relentless scientific curiosity of our employees, a willingness to examine new ideas, and the pairing of existing information with novel concepts. We innovate by creating new medicines, as well as new methods of drug discovery and delivery. In doing so, we constantly develop and grow our robust pipeline to address patients´ unmet medical needs.
pharmaceutical innovations. These partnerships also include alliances with well-respected research institutions such as the Kitasato Institute in Japan.
World-Class R&D Pipeline As a part of our vision to be a Global Pharma Innovator, we set ourselves the goal of challenging unmet medical needs. To reinforce the competitiveness of research in the disease areas which have high unmet medical needs, we focus our resources on oncology and cardiovascular-metabolics as the priority discovery areas. With about 1.7 billion euros of investments in R&D, we invested about 19.7 per cent of our net sales into the future of our company – which is far above the pharmaceutical industry average of 15 to 17 per cent.
Key Projects form Our Global R&D Pipeline
Area Phase I Phase II Phase III Application
Cardiovascular- Metabolics
– CS-3150 (antihypertensive) – DS-7309 (antidiabetes) – DS-7250 (antidiabetes)
– prasugrel** (sickle cell disease) – edoxaban (AF; VTE) – prasugrel (ACS-MM; ASC-PCI*; ischemic stroke*)
Oncology – U3-1565 (Anti-HB-EGF antibody) – DS-2248 (HSP90 inhibitor) – DS-7423 (PI3K/mTOR inhibitor) – ARQ 092 (AKT inhibitor) – DS-3078 (mTOR inhibitor)
– efatutazone (PPARγ agonist) – U3-1287 (anti-HER3 antibody) – tigatuzumab (anti-DR5 antibody) – nimotuzumab (anti-EGFR antibody) – PLX3397 (Fms/Kit/FIt3-ITD inhibitor)
– vemurafenib (BRAF inhibitor)
– tivantinib (c-MET inhibitor)
– denosumab* (breast cancer adjuvant)
Others – Laninamivir (anti-influenza) – CS-4771 (antisepsis) – DS-8587 (antibacterial agent) – PLX5622 (rheumatoid arthritis) – CS-0777 (immuno-modulator) – SUN13837 (spinal cord injury)
– denosumab* (rheumatoid arthritis) – SUN13834** (atopic dermatitis) – DS-5565 (chronic pain)
– laninamivir* (influenza prophylactic)
– DD-723-B* (ultrasound contrast agent for prostate cancer)
– DD-723-B* (ultrasound contrast agent for breast cancer)
– denosumab* (osteoporosis)
*Only developed in Japan / **Only developed in the US / As of May 2012 In the field of oncology only the most advanced stages are listed.
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Research and Pharmaceutical Development in EuropeEurope is one part of our tetrapolar research structure. As we work to find answers to important medical questions, we use our enthusiasm and energy to find new and innovative methods of discovery so we can deliver the solutions for the current and future needs of patients worldwide.
An important part of the development process of new pharmaceuticals are different stability tests.
Our priority discovery goals are finding new treatments to fight cancer and novel therapies for cardiovascular-metabolic disease.
Our global research activities are concentrated in four countries: Japan, Germany, the United States, and India. This allows Daiichi Sankyo to obtain swift progress in research and development and helps us to integrate the regional characteristics of the respective R&D environments in our work. It is one of our goals to file applications for regulatory approvals simultaneously around the world, in order to provide new medicines to patients as fast as possible. The German research activities are all based in the south of the country, close to Munich.
Basic Research In 2008, we acquired the German biotech company U3 Pharma to further strengthen our position in the therapeutic area of oncology. Based in Martinsried, an internationally renowned biotech centre near Munich, U3 Pharma’s mission is to identify first-in-class monoclonal antibodies for the treatment of cancer. The company has knowledge-sharing contracts with world-class research institutions such as the renowned Max Planck Institute of Biochemistry in Germany.
In addition, we opened the Tissue and Cell Research Center Munich in the beginning of 2012. While the metabolism of new drugs has been analysed by scientists from Daiichi Sankyo Europe since 1997, the new research facility is already playing a greater role in the global research structure and also participates in investigating new drug targets.
Pharmaceutical Development Once a promising active ingredient has been found, a matching formulation of the final medicine and the individual production process also needs to be developed. This process takes several years, and involves various departments in our Pfaffenhofen production site in Germany. For example, the pharmaceutical development of Sevikar® and Sevikar HCT® was carried out there.
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Daiichi Sankyo in Europe With its 12 affiliates, Europe is the third largest region for Daiichi Sankyo after Japan and the United States in terms of net sales. In 2011, Daiichi Sankyo Europe contributed 7.2 per cent of the global net sales. To further increase this proportion, we are following an ambitious growth strategy in Europe.
Broad Geographical Coverage In order to increase European sales, we are entering new markets and thus extending our geographical range. In 2008, we opened new affiliates in Turkey, the fastest growing pharmaceutical market within the region, and in Ireland. We are represented with our own affiliates in the major Western European markets, including the five countries with the highest pharma sales in the region – France, Germany, Spain, Italy, and the United Kingdom.
Even though there is not a Daiichi Sankyo affiliate in every European country, many products are available across the region through licensing and marketing agreements with other multinational pharmaceutical companies. For example, antihypertensive drugs containing olmesartan are also promoted in Scandinavia and Greece via cooperation partners, allowing more patients to access these medicines. In these cases, the sales force of the cooperation partners is promoting our products.
Continuous Growth Strategy While Western Europe is a mature pharmaceutical market, we still see a lot of growth potential in the European region. Olmesartan sales have been growing constantly over the past years and are expected to grow further in the future. In addition, there is great market potential for our pipeline products such as medicines against thrombotic disorders and cancer.
As part of our Hybrid Business Model and in cooperation with Ranbaxy, our innovative medicines are also entering different Eastern European markets step-by-step. One example is the anti-hypertensive Sevikar®, which has been promoted in Romania by Terapia Ranbaxy, the local Ranbaxy affiliate since April 2012.
Net Sales by Region – Fiscal Year 2011
About 2,500 employees work for Daiichi Sankyo in Europe:
France 470Germany 420Italy 265Spain 230United Kingdom 80
Turkey 50Belgium 70Portugal 65Switzerland 35Austria 30
Netherlands 25Ireland 20Production 425EU Headquarters 315
5000
4500
4000
3500
3000
2500
2000
1500
1000
500
0 Japan North America Europe Others Ranbaxy Group
4,497 52.2% Japan
18.9% North America
7.2% Europe
3.1% Others
18.7% Ranbaxy GroupNet sales in millions of euros including exports from Japan to overseas markets.
1,624
619
264
1,611
Exchange rate: ¥109.0=€1
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The European Role in the Global Supply ChainWe operate a globally integrated supply chain network to ensure that high-quality and safe pharmaceutical products are supplied quickly to patients worldwide. Our supply chain of strategically positioned manufacturing plants in Japan, Germany, France, the United States, Brazil, and Venezuela, as well as Ranbaxy manufacturing bases in eight countries, offers seamless procurement, manufacturing, and logistics. This ensures stable access to raw materials, systematic manufacturing, and timely, reliable delivery.
Daiichi Sankyo has two production facilities in Europe, both of which have been approved by international authorities such as the US Food and Drug Administration (FDA) and the German Institute for Pharmaceutical and Medical Products (BfArM). Active ingredients are manufactured in Altkirch (France). Our main European site is located in Pfaffenhofen (Germany), around 60 kilometres north of Munich.
The site in Pfaffenhofen is a globally networked plant, producing more than 2.7 billion tablets per year. These are shipped as bulk tablets and finished goods to more than 60 countries. In Pfaffenhofen, more than 400 employees are involved in pharmaceutical development and production.
From Germany to the World Our pharmaceutical production in Germany started in 1910. At that time, the facilities were still part of the Luitpold-Werk, which was later acquired by Daiichi Sankyo. In 2007, we inaugurated a new state-of-the-art production facility for solid products in Pfaffenhofen, where the manufacturing and packing of tablets now takes place. For example, Sevikar® and other olmesartan products are manufactured here and shipped globally. Furthermore, tablets containing edoxaban and tivantinib will be produced here for patients in Europe and other regions. We are thus one of the few global pharmaceutical manufacturers that produces medicines in Germany.
2.7 billion tablets are manufactured by Daiichi Sankyo Europe per year. Capacity will be increased further in the near future.
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Corporate Social Responsibility Daiichi Sankyo aims to be a trusted and valued partner for patients, doctors, and its employees. We are thus taking an active role in society. At the same time, our core business activities – the development, production, and supply of medicines to meet people’s healthcare needs – are socially responsible activities in themselves.
Responsibility to the StakeholdersDaiichi Sankyo has identified - amongst others - patients, medical professionals, and employees as key stakeholder groups. Whereas open and transparent communication is important for all of them, additional activities are dedicated to the different stakeholder groups.
For example, the European affiliates of Daiichi Sankyo support many professional and patient organisations such as the Deutsche Diabetes Gesellschaft (German Association for Diabetes), the Comité Français de Lutte contre l’Hypertension Artérielle (French Committee for the Fight against Hypertension), or the Sociedade Portuguesa de Menopausa (Portuguese Menopause Society). These activities help to raise knowledge and awareness about different diseases and their prevention and treatment within society.
Our employees benefit from a respectful working environment, which actively promotes a healthy balance between work and private life. For example, employees can opt for attractive pension schemes and flexible working hours, including long-term time accounts. In addition, we offer a variety of professional training elements for staff in Europe. This is rounded off by various cultural and sports activities offered to our employees. In order to take an active role in society, we also support young researchers by awarding excellent study opportunities and supporting special research projects.
Responsibility to the Global EnvironmentThe two key targets of Daiichi Sankyo’s environmental activities are the prevention of carbon dioxide (CO2) emissions and the promotion of the economical use of resources. Although the CO2 emissions of the pharmaceutical industry are relatively low compared with other industries, we take our responsibility very seriously and implemented a carbon offset programme in 2008. This includes detailed emission targets for all the production facilities and the different R&D centres. One step to achieving this target was made by the Pfaffenhofen plant. The heating energy here is no longer generated from fossil fuels but from a local bio-mass fired power plant.
For more information about Daiichi Sankyo’s CSR activities, please read the Global CSR Report at: www.daiichisankyo.com/csr/
P22 Daiichi Sankyo Corporate Brochure
This brochure contains forward-looking statements and information about future developments in the sector, and legal and business conditions of Daiichi Sankyo Europe GmbH. Such forward-looking statements are uncertain and are subject to change at all times, particularly due to the usual risks faced by a global pharmaceutical company, including the impact of the prices for products and raw materials, medication safety, changes in exchange rates, government regulations, employee relations, taxes, political instability, and terrorism, as well as the results of independent demands and governmental inquiries that affect the affairs of the company. All forward-looking statements contained in this brochure hold true as of the date of publication. They do not represent any guarantee of future performance. Actual events and developments could differ materially from the forward-looking statements that are explicitly expressed or implied in these statements. Daiichi Sankyo Europe GmbH assumes no responsibility for updating such forward-looking statements about future developments of the sector, legal and business conditions, and the company.
The content of this document is not intended to provide medical advice, nor meant to be a substitute for advice provided by a physician or other qualified healthcare professional. The information in this document should not be relied on in providing medical advice. While Daiichi Sankyo uses reasonable care to ensure that information is accurate, the contents of this document are provided to you ‘as is’, without warranty of any kind, either expressed or implied, including, but not limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement. Daiichi Sankyo makes no claims as to the availability, accuracy, or completeness of the content of this document. Daiichi Sankyo may make changes to these materials at any time, without notice, and makes no commitment to update the information contained herein. Daiichi Sankyo shall not be liable for any damages or injury resulting from your reliance on any information in this document.
The content of this document is protected under applicable copyright and trademark laws. All images and text are owned by or licensed to Daiichi Sankyo and may not be distributed, stored, reused, reposted, modified, or otherwise used without the express written permission of Daiichi Sankyo. Daiichi Sankyo neither warrants nor represents that your use of material displayed in this document will not infringe the rights of third parties.
Contacts Daiichi Sankyo Europe GmbH Zielstattstrasse 48 81379 Munich • Germany Phone +49 89 7808 0 Fax +49 89 7808 267 [email protected]
www.daiichi-sankyo.eu
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