Anticancer APIs drive ScinoPharm gains in 2009

Contract manufacturing organization (CMO) ScinoPharm says strong anticancer API sales and growing demand in Europe and Asia were key to record performance in 2009.

The Taiwanese active pharmaceutical ingredient (API) maker’s revenue for the year was NT$3.79bn (€89.4m), up 20 per cent on 2008, while its operating profit grew around 19 per cent to just over NT$1bn.

In a press statement, CEO Jo Shen attributed the results to a “[focus] on high value and high technological barrier products, which will further ScinoPharm’s market leadership position in generic APIs.”

This focus on high value and high barrier pharmaceutical products and, more specifically, on cancer APIs also appears to be an important part of ScinoPharm’s plans in 2010.

The firm explained that several new APIs are scheduled for commercialisation this year, including compounds used in drugs for the treatment of breast, prostate and ovarian cancer

Additionally, ScinoPharm said it has “accelerated its pace by developing cell lines and lab processes for seven biosimilars,” including monoclonal antibodies (MAb) for the treatment of cancer.

The CMO also confirmed that construction of its new contract manufacturing facility in Changshu, Jiangsu Province, China is on track and due to be completed sometime in 2011.

All of which suggests ScinoPharm is well positioned to benefit from both the drug industry’s increasing use of outsourced manufacturing and the anticipated increase in demand for cancer drugs.

This, coupled with ScinoPharm’s 2009 performance, is also good news for the food group Uni-President Enterprises Corporation.

Earlier this month Taiwan-headquartered Uni-President said that it will increase its holding in ScinoPharm by buying Watson Pharmaceutical’s 31 per cent stake in the CMO for $94m.