DAIICHI SANKYO - A One Billion Euro Candidate in Europe

FRANKFURT/MAIN, Germany, July 13 /PRNewswire/ --

-- Merger DAIICHI SANKYO EUROPE

On 1 July 2006 the next step in the global integration of SANKYO COMPANY, LIMITED and DAIICHI Pharmaceutical Co., Ltd. was achieved in Europe. SANKYO's current holding company in Europe, SANKYO PHARMA GmbH has been renamed as DAIICHI SANKYO EUROPE GmbH, in line with its national subsidiaries in Europe.

Both SANKYO and DAIICHI already have a long history in Europe. SANKYO opened a clinical development subsidiary in Duesseldorf in 1985 and acquired Luitpold Werke, a mid-sized European pharmaceutical company located in Munich, in 1990. DAIICHI established its clinical development unit in the UK in 1993.

SANKYO PHARMA GmbH - as SANKYO's affiliate was called until 30 June 2006 - grew over the years to become a 322 million euro company by 2005[1]. It has subsidiaries in ten European markets - more than any other Japanese pharmaceutical company in Europe.

SANKYO PHARMA has 1,700 employees in Europe, of which 1,050 are employed as field representatives all over Europe. Its two manufacturing plants are located in Pfaffenhofen/Germany as well as in Altkirch/France.

The company development has been driven by successful launches of the newest and highly effective AII-antagonist, OLMETEC(R), which entered the global market as the seventh AII-antagonist, its sales have already grown to over 740 Mio. euros globally, the divestment of the former Luitpold OTC-products - such as the well known MOBILAT(R) brand - to STADA AG and compensating the divestment with in-licensing in the same value-range of cardiovascular products such as LOMIR(R) and LOPRESSOR(R).

DAIICHI's activities in Europe have so far been centred at its clinical development company in London while its best-selling drug discoveries, e.g. levofloxacin and irinotecan, have been out-licensed in Europe. SANKYO's portfolio in Europe is now strongly focussed on cardiovascular products in the primary care sector, accounting for almost 70 per cent of the current business.

"The business integration between SANKYO and DAIICHI gives us a much broader financial and product pipeline basis to expand our European business in the future," says Mr. Reinhard Bauer, CEO of DAIICHI SANKYO EUROPE. "OLMETEC(R), our new blockbuster product for the treatment of hypertension, still has a very high growth potential in Europe. But in order to grow much faster now that attractive DAIICHI-compounds are beginning to appear, we need more sales force capacity in Europe, which the merger will help to accelerate." DAIICHI SANKYO has very unique and promising compounds in its R&D pipeline such as Prasugrel (CS-747) - an oral antiplatelet compound in phase III - as well as Rivoglitazone (CS-011) - an antidiabetic compound (Glitazone) just finalised phase II trials.

Beyond internal growth opportunities DAIICHI SANKYO EUROPE is actively working on in-licensing, partnerships and acquisitions of products in order to enhance the corporate values.

"Based on the internal growth opportunities plus additional business development initiatives, it should be possible to reach the one billion euros turnover by the year 2011," resumes Mr. Bauer.

In this context, DAIICHI SANKYO EUROPE and Eli Lilly & Company have signed a marketing and distribution agreement for EVISTA(R) (raloxifene), for existing osteoporosis indications in certain European countries (Germany, Italy, Belgium, Netherlands, Austria and Switzerland). EVISTA(R) is a selective oestrogen receptor modulator that inhibits bone resorption. In Europe, it is indicated for the treatment and prevention of osteoporosis in post-menopausal women.

For further information visit www.daiichi-sankyo.eu

    
    CONTACT
    
    Olaf Lamberz
    Corporate Communication
    Phone +49-89-78-08-442
    olaf.lamberz@daiichi-sankyo.eu

[1] based on local Net Sales

Olaf Lamberz, Corporate Communication, Phone +49-89-78-08-442, olaf.lamberz@daiichi-sankyo.eu