Amgen Establishes Commercial Operations in Brazil
THOUSAND OAKS, Calif., April 8, 2011 /PRNewswire via COMTEX/ --
Amgen (NASDAQ: AMGN), the world's largest biotechnology company, announced today the expansion of its operations in Brazil, including the acquisition of Bergamo, a privately-held Brazilian pharmaceutical company. Amgen has also agreed to reacquire rights in Brazil to its products that were previously granted to Mantecorp (subsequently acquired by Hypermarcas). Together, these transactions will provide Amgen a significant presence in Brazil and immediate, direct access to one of the fastest growing pharmaceutical markets in the world.
Bergamo is a leading supplier of medicines to the hospital sector in Brazil with capabilities in oncology medicines and has manufacturing facilities in Sao Paulo state.Bergamo had gross revenues of US $80 million in 2010 and has been growing at an annual rate of 19 percent since 2007. Under terms of the transaction announced today, Amgen gained full ownership of Bergamo by purchasing it for approximately US $215 million.
Amgen has entered into an agreement in principle with Hypermarcas to reacquire the rights in Brazil to several of Amgen's innovative medicines, two of which are already approved in Brazil, Vectibix(R) (panitumumab) and Mimpara(R) (cinacalcet), and a third, romiplostim, (registered as Nplate(R) in the United States), a treatment for the blood disorder ITP, which is currently under review by ANVISA, the regulatory authority in Brazil.
"Amgen's strategic goal is to make our innovative medicines available to patients in major markets around the world," said Kevin Sharer, Amgen's chairman and chief executive officer. "Acquiring Bergamo, a profitable company with an established local infrastructure, and regaining the rights to our products in Brazil, provides us an attractive entry into the Brazilian market."
The focus on Brazil is part of a wider international expansion strategy for Amgen. Brazil is among the top 10 pharmaceutical markets in the world and in recent years has been growing at a rate of about 12 percent per year. It is expected to be the world's fifth largest pharmaceutical market by 2015.
Amgen discovers, develops, manufactures, and delivers innovative human therapeutics. A biotechnology pioneer since 1980, Amgen was one of the first companies to realize the new science's promise by bringing safe, effective medicines from lab to manufacturing plant to patient. Amgen therapeutics have changed the practice of medicine, helping millions of people around the world in the fight against cancer, kidney disease, rheumatoid arthritis, bone disease, and other serious illnesses. With a deep and broad pipeline of potential new medicines, Amgen remains committed to advancing science to dramatically improve people's lives. To learn more about our pioneering science and vital medicines, visit www.amgen.com.
Forward Looking Statements
This news release contains forward-looking statements that involve significant risks and uncertainties, including those discussed below and others that can be found in our Form 10-K for the year ended Dec. 31, 2010, and in our periodic reports on Form 10-Q and Form 8-K. Amgen is providing this information as of the date of this news release and does not undertake any obligation to update any forward-looking statements contained in this document as a result of new information, future events or otherwise.
No forward-looking statement can be guaranteed and actual results may differ materially from those we project. The Company's results may be affected by our ability to successfully market both new and existing products domestically and internationally, clinical and regulatory developments (domestic or foreign) involving current and future products, sales growth of recently launched products, competition from other products (domestic or foreign), difficulties or delays in manufacturing our products. In addition, sales of our products are affected by reimbursement policies imposed by third-party payors, including governments, private insurance plans and managed care providers and may be affected by regulatory, clinical and guideline developments and domestic and international trends toward managed care and healthcare cost containment as well as U.S. legislation affecting pharmaceutical pricing and reimbursement. Government and others' regulations and reimbursement policies may affect the development, usage and pricing of our products. Furthermore, our research, testing, pricing, marketing and other operations are subject to extensive regulation by domestic and foreign government regulatory authorities. We or others could identify safety, side effects or manufacturing problems with our products after they are on the market. Our business may be impacted by government investigations, litigation and products liability claims. Further, while we routinely obtain patents for our products and technology, the protection offered by our patents and patent applications may be challenged, invalidated or circumvented by our competitors. We depend on third parties for a significant portion of our manufacturing capacity for the supply of certain of our current and future products and limits on supply may constrain sales of certain of our current products and product candidate development. In addition, we compete with other companies with respect to some of our marketed products as well as for the discovery and development of new products. Discovery or identification of new product candidates cannot be guaranteed and movement from concept to product is uncertain; consequently, there can be no guarantee that any particular product candidate will be successful and become a commercial product. Further, some raw materials, medical devices and component parts for our products are supplied by sole third-party suppliers.
Mary Klem, 805-447-6979 (U.S. media)
Helen Mills, +41 41 3690 315 (EU media)
Shirley Emerick +55 11 8924 8608(Brazil media)
Arvind Sood, 805-447-1060 (investors)