MIRA
INFORM REPORT
|
Report Date : |
21.06.2012 |
IDENTIFICATION DETAILS
|
Name : |
BIOCON
LIMITED |
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|
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Registered Office : |
20th
KM, |
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Country : |
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|
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Financials (as on) : |
31.03.2011 |
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Date of Incorporation : |
29.11.1978 |
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Com. Reg. No.: |
08-003417 |
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Capital
Investment / Paid-up Capital : |
Rs.1000.000 Millions |
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CIN No.: [Company
Identification No.] |
L24234KA1978PLC003417 |
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|
TAN No.: [Tax
Deduction & Collection Account No.] |
BLRB00214E |
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Legal Form : |
Public
Limited Liability Company. The Company's shares are listed on the Stock
Exchange. |
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Line of Business : |
Manufacturers,
Exporters and Importers of all kinds of Enzymes, Oleoresins, Catalytic
Preparations, Organic Chemicals and Organic and Bio-Chemicals, etc. |
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|
|
|
No. of Employees
: |
5585
[Approximately] |
RATING & COMMENTS
|
MIRA’s Rating : |
Aa (74) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
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Maximum Credit Limit : |
USD 77800000 |
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|
Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well
established and reputed company having fine track. Financial position of the
company appears to be good. Fundamentals are strong and healthy. Trade
relations are fair. Business is active. Payments are reported to regular and
as per commitments. The company can
be considered normal for business dealings at usual trade terms and
conditions. |
NOTES : Any query related to this
report can be made on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
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|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
Off-credit |
D |
LOCATIONS
|
Registered
Office /Factory 1 / Corporate Headquarters
: |
20th
KM, |
|
Tel. No.: |
91-80-28422169/28523434/
28082808 |
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Fax No.: |
91-80-28422623/25531662/28523423 |
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E-Mail : |
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Website : |
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Area : |
15000
sq. ft. |
|
Locations : |
Owned
|
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Factory 2 : |
Plot No 113/C2,
Bommasandra Industrial Area, Bommasandra, Bangalore – 560099, Karnataka, India |
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Factory 3 : |
Plot No 2,3,4 and
5, Bommasandra – Jigani Link Road, Bangalore - 560099, Karnataka, India |
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Factory 4 : |
Plot 213-215 IDA
Phase – II,pashamlaram Medak District – 502307, Andhara Pradesh, India |
DIRECTORS
As on 31.03.2011
|
Name : |
Mrs.
Kiran Mazumdar |
|
Designation : |
Chairperson
and Managing Director |
|
Address : |
874/1,
7th Cross III Block, Koramangala, |
|
Date of
Birth/Age : |
20.11.1978 |
|
Qualification
: |
B.Sc.
(Hons.), PG Diploma in Malting & Brewing |
|
Date Of
Appointment : |
01.12.1978 |
|
Previous
Employment: |
Jupiter
Breweries, Kolkata, |
|
|
|
|
Name : |
Dr.
Neville Bain |
|
Designation : |
Director |
|
Address : |
High
Trees, |
|
Date of
Birth/Age : |
17.04.1955 |
|
Date of
Appointment : |
08.08.2000 |
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|
|
Name : |
Prof.
Ravi Mazumdar |
|
Designation : |
Director |
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Address : |
706, |
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Date of
Birth/Age : |
14.07.1940 |
|
Date of
Appointment : |
08.08.2000 |
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|
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|
Name : |
Prof.
Charles L. Cooney |
|
Designation : |
Director |
|
Address : |
14.09.1961 |
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Date of
Birth/Age : |
35, |
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Date of
Appointment : |
27.07.2001 |
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|
|
|
Name : |
Dr.
Bala Manian |
|
Designation : |
Mr.
Catherine Rosenberg |
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|
Name : |
Mr.
Suresh Talwar |
|
Designation : |
Director |
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|
Name : |
Prof Catherine Rosenberg |
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Designation : |
Alternate Director |
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|
Name : |
Mr. John Shaw |
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Designation : |
Director |
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|
Name : |
Mr. Peter Bains |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr.
Chinappa M. B. |
|
Designation : |
Chief
Executive Financer – Syngene |
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Qualification
: |
B. Com. ACA |
|
Date of
Appointment : |
12.07.1999 |
|
Last
Employment : |
Finance Manager
ITC Limited, |
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|
|
|
Name : |
Dr.
Harish V. Iyer |
|
Designation : |
President
|
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|
Name : |
Mr.
Kiran Kumar G |
|
Designation : |
Compliance
Officer, Company Secretary |
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|
Name : |
Mr. |
|
Designation : |
Group
Head of Human Resorces |
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|
|
Name : |
Mr.
Sandeep Rao |
|
Designation : |
Vice President
– Business Development and Licensing |
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Qualification
: |
M. Sc. PGDM |
|
Date of
Appointment : |
15.06.1999 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 31.03.2012
|
Names of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
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|
80881394 |
40.44 |
|
|
80881394 |
40.44 |
|
|
|
|
|
|
39535194 |
19.77 |
|
|
1407558 |
0.70 |
|
|
40942752 |
20.47 |
|
Total shareholding of Promoter and Promoter Group (A) |
121824146 |
60.91 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
8118028 |
4.06 |
|
|
10816130 |
5.41 |
|
|
5430212 |
2.72 |
|
|
24364370 |
12.18 |
|
|
|
|
|
|
14322738 |
7.16 |
|
|
|
|
|
|
17658954 |
8.83 |
|
|
11677918 |
5.84 |
|
|
10151874 |
5.08 |
|
|
1291434 |
0.65 |
|
|
8108318 |
4.05 |
|
|
105374 |
0.05 |
|
|
646748 |
0.32 |
|
|
53811484 |
26.91 |
|
Total Public shareholding (B) |
78175854 |
39.09 |
|
Total (A) + (B) |
200000000 |
100.00 |
|
Shares
held by custodians and against which depository receipts have been
issued (C) |
- |
- |
|
Total (A) + (B) +(C) |
200,000,000 |
- |
(1)
Indian
Individuals
/ Hindu Undivided Family
Individual
shareholders holding nominal share capital up to Rs.0.100 Million BUSINESS DETAILS
|
Line of Business : |
Manufacturers,
Exporters and Importers of all kinds of Enzymes, Oleoresins, Catalytic
Preparations, Organic Chemicals and Organic and Bio-Chemicals, etc. |
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Products : |
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Brand Names : |
"BIOCON" |
PRODUCTION STATUS (As on 31.03.2011):-
|
Particulars |
Unit |
Licensed Capacity |
Installed Capacity |
Actual
Production |
|
Pharmaceuticals |
Kg. |
* |
** |
15700047 |
* Exempted
from the licensing provisions of the Industries (Development and Regulation) Act,
1951 in terms of notification No. S. O. 477(E) dated July 25, 1991.
**
Installed capacity has not been disclosed as these are variable and subject to
changes in product mix, and utilization of manufacturing facilities, given the
nature of operations
GENERAL INFORMATION
|
No. of Employees : |
5585
[Approximately] |
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Bankers : |
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Facilities : |
(i) The Company has working capital facilities
with Hongkong and Shanghai Banking Corporation (HSBC). These facilities are
repayable on demand, secured by pari-passu
first charge on current assets. As on March 31, 2011, the Company
has utilised fund based limits of Rs.740.229 millions inclusive of foreign
currency denominated loans of Rs.668.100 millions (US$ 15 Million). (ii) The Company has working capital facilities
with Canara Bank (CB). These facilities are repayable on demand, secured by a
pari-passu first
charge on current assets of the Company. As on March 31, 2011, the Company
has utilised Rs.0.414 millions. (iii) The Company has working capital facilities with
ABN Amro Bank. These facilities are repayable on demand, secured by a pari-passu first charge on
the current assets of the Company. As on March 31, 2011, the Company has
utilised Nil inclusive of foreign currency denominated loans of Nil (US$
Nil).
(i) Under the Industrial Policy of the Government
of Karnataka, the Company on February 4, 1998 obtained an order from the
Karnataka Sales Tax Authority for allowing deferment of sales tax (including
turnover tax) for a period upto 8 years with respect to sales from its
Bommasandra manufacturing facility for an amount not exceeding Rs.24.375
millions. As at March 31, 2011, the Company has utilised Rs. Nil. During the
year, the Company has repaid the entire amount. (ii) Under the Agro Food Processing Industrial
Policy of the Government of Karnataka, the Company on February 9, 2000
obtained an order from the Karnataka Sales Tax Authority for allowing
deferment of sales tax (including turnover tax) for a period upto 12 years
with respect to sales from its Hebbagodi Manufacturing facility for an amount not exceeding
Rs.648.938 millions. As at March 31, 2011, the Company has utilized Rs.
648.624 millions. The amount due for repayment during 2011-12 is Rs. Nil. (iii) On March 31, 2005, the Company entered into
an agreement with the Council of Scientific and Industrial Research (‘CSIR’),
for an unsecured loan of Rs.3.312 millions for carrying out part of the
research and development project under the New Millennium Indian Technology
Leadership Initiative (‘NMITLI’) Scheme. The loan is repayable over 10 equal
annual installments starting from April, 2009 and carrying an interest rate
of 3 percent per annum. The amount due for repayment within one year is Rs.
Nil. The amount due for repayment in 2011-12 being Rs.0.331 million has been
paid as at March 31, 2011. (iv) On March 31, 2009, the Department of
Scientific and Industrial Research (‘DSIR’) has sanctioned financial
assistance for a sum of Rs.17.000 millions to the Company for part financing
one of it’s research projects. Of the said sanctioned amount, the Company has
received the first installment of Rs.10.000 millions during the year 2008-09.
The Research project has been completed during the year ended March 31, 2010.
The assistance is repayable in the form of royalty payments post
commercialization of the project in five equal annual installments. During
the year, the Company has received the remaining Rs.7.000 millions towards
the Pilot Plant project. In addition, DSIR has further sanctioned Rs.4.000
millions towards a development project and the same was received in August,
2010. The amount due for repayment during 2011-12 is Rs. Nil. (v) On November 3, 2009, the Department of
Biotechnology (‘DBT’) under the Biotechnology Industrial Partnership
Programme (‘BIPP’) has sanctioned financial assistance for a sum of ` 53,000
to the Company for financing one of it’s research projects. Of the said
sanctioned amount, the Company has received a sum of Rs.37.100 millions
during the year 2010-11. The loan is repayable over 10 half yearly
installments after one year from the date of completion of the project, and
carries an interest rate of 2 percent per annum. The amount due for repayment
during 2011-12 is Rs. Nil. (vi) On August 25, 2010, the Department of
Science and Technology (‘DST’) under the Drugs and Pharmaceutical Research
Programme (‘DPRP’) has sanctioned financial assistance for a sum of Rs.70.000
millions to the Company for financing one of it’s research projects. Of the
said sanctioned amount, the Company has received the first installment of Rs.
0.014 million during the year 2010-11. The loan is repayable over 10 annual
installments starting from July 1, 2012, and carries an interest rate of 3
percent per annum. (vii) The Company has obtained foreign currency
loan of Rs. 222.700 (US$ 5 million) from BNP Paribas as at March 31, 2011.
The loan is repayable by September 18, 2011. As at March 31, 2010, the
Company had availed foreign currency loan of Rs. 359.600 millions (US$ 8
million) from HDFC Bank. |
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Banking Relations : |
Fair |
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Auditors : |
S.R.Batliboi
and Associates Chartered
Accountants |
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Address : |
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Associates: |
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Subsidiaries/ Joint venture: |
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Fellow
Subsidiaries: |
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Enterprise
owned by Key Management |
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CAPITAL STRUCTURE
As on 31.03.2011
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
220,000,000 |
Equity shares |
Rs.5/- each |
Rs. 1100.000 millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
200,000,000 |
Equity shares |
Rs.5/- each |
Rs. 1000.000 millions |
|
|
|
|
|
Note: Of the above equity shares :
(i) 30,800 equity shares of Rs.100/- each were
allotted as fully paid bonus shares by capitalization of general reserve in the
year ended March 31, 1997.
ii) 23,471 equity shares of Rs.100/- each were allotted as fully paid-up
shares in the year ended March 31, 2000 pursuant to a contract for
consideration other than cash.
(iii) On March 30, 2002, the Company acquired 99.9 per cent equity in
Syngene International Limited through the issue of 202,780 equity shares of
Rs.10/- each. The consideration was determined on the basis of a fair
valuation, as approved by the statutory authorities in
(b) Also refer to Note 3 in schedule 17 for shares allotted under the
Employees Stock Option Plan.
(c) On November 11, 2003, the Company issued 86,324,700 equity shares of
Rs. 5/- each as fully paid-up bonus shares by capitalization of balance in the
profit and loss account of Rs 431.624 millions.
(d) On September 15, 2008 the Company issued 100,000,000 equity shares
of Rs.5/- each as fully paid bonus shares by capitalization of balance in the
securities premium account of Rs. 500.000 millions
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES
OF FUNDS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
SHAREHOLDERS
FUNDS |
|
|
|
|
|
1] Share Capital |
1000.000 |
1000.000 |
1000.000 |
|
|
2] Share
Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves &
Surplus |
18468.091 |
14662.867 |
12748.753 |
|
|
4] (Accumulated
Losses) |
0.000 |
0.000 |
0.000 |
|
NETWORTH
|
19468.091 |
15662.867 |
13748.753 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
740.643 |
896.834 |
1014.565 |
|
|
2] Unsecured
Loans |
945.743 |
1021.228 |
624.862 |
|
TOTAL BORROWING
|
1686.386 |
1918.062 |
1639.427 |
|
|
DEFERRED TAX
LIABILITIES |
395.518 |
410.408 |
410.408 |
|
|
|
|
|
|
|
TOTAL
|
21549.995 |
17991.337 |
15798.588 |
|
|
|
|
|
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APPLICATION OF FUNDS
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block]
|
6662.376 |
6599.909 |
6752.841 |
|
Capital work-in-progress
|
1032.909 |
583.344 |
376.872 |
|
|
|
|
|
|
|
INVESTMENT
|
4858.229 |
4186.382 |
3466.855 |
|
Intangible Assets
|
134.490 |
184.062 |
388.850 |
|
|
|
|
|
|
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CURRENT ASSETS, LOANS & ADVANCES
|
|
|
|
|
|
|
Inventories
|
2747.374 |
2447.986 |
1945.224
|
|
|
Sundry Debtors
|
4181.044 |
3836.444 |
3101.713
|
|
|
Cash & Bank Balances
|
2102.320 |
771.218 |
60.427
|
|
|
Other Current Assets
|
0.000
|
0.000
|
0.000
|
|
|
Loans & Advances
|
4086.880
|
4030.711
|
2662.748
|
Total Current Assets
|
13117.618 |
11086.359 |
7770.112 |
|
Less: CURRENT LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
Sundry Creditors
|
1834.522 |
1856.471 |
1218.262
|
|
|
Other Current Liabilities
|
1319.197 |
1959.772 |
978.708
|
|
|
Provisions
|
1101.908 |
832.476 |
759.972
|
Total Current Liabilities
|
4255.627 |
4648.719 |
2956.942 |
|
Net Current Assets
|
8861.991 |
6437.640 |
4813.170 |
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES
|
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
TOTAL
|
21549.995 |
17991.337 |
15798.588 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
13250.660 |
11280.695 |
9034.360 |
|
|
|
Other Income |
605.716 |
658.327 |
747.738 |
|
|
|
Licensing and Development Fees |
2064.963 |
350.130 |
89.005 |
|
|
|
TOTAL |
15921.339 |
12289.152 |
9871.103 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Manufacturing contract research and other
expenses |
9824.660 |
8709.669 |
6936.814 |
|
|
|
TOTAL |
9824.660 |
8709.669 |
6936.814 |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION |
6096.679 |
3579.483 |
2934.289 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
23.778 |
19.910 |
49.371 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION |
6072.901 |
3559.573 |
2884.918 |
|
|
|
|
|
|
|
|
|
Less |
DEPRECIATION/
AMORTISATION |
901.691 |
797.290 |
742.830 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX |
5171.210 |
2762.283 |
2142.088 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
578.715 |
278.713 |
103.967 |
|
|
|
|
|
|
|
|
|
|
Exceptional item
net |
0.000 |
0.000 |
[997.450] |
|
|
|
|
|
|
|
|
|
Add/ less |
Tax effect on
exceptional items |
0.000 |
0.000 |
77.326 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
|
4592.495 |
2483.570 |
1117.997 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
9470.267 |
8009.190 |
7704.962 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
Interim
dividend on equity shares |
300.000 |
0.000 |
0.000 |
|
|
|
Proposed
final dividend on equity shares |
600.000 |
700.000 |
600.000 |
|
|
|
Tax on
proposed final dividend, net of reversal of earlier year Rs.6.552 |
90.783 |
74.136 |
101.970 |
|
|
|
Transfer
to general reserve |
459.250 |
248.357 |
111.799 |
|
|
|
BALANCE CARRIED
TO THE B/S |
12612.729 |
9470.267 |
8009.190 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export
of goods on FOB basis |
5243.403 |
4828.653 |
4628.839 |
|
|
|
Licensing
and development fees |
1658.269 |
136.093 |
89.005 |
|
|
|
Other Income |
0.000 |
48.090 |
NA |
|
|
|
Interest
on foreign currency loan given to subsidiary company |
33.234 |
44.204 |
NA |
|
|
TOTAL EARNINGS |
6934.906 |
5057.040 |
4717.844 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
3821.639 |
3823.858 |
2622.733 |
|
|
|
Packing Materials |
45.249 |
30.784 |
32.513 |
|
|
|
Maintenance Spares |
30.477 |
25.808 |
13.821 |
|
|
|
Capital Goods |
502.097 |
208.571 |
239.037 |
|
|
TOTAL IMPORTS |
4399.462 |
4089.021 |
2908.104 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
23.49 |
12.77 |
5.79 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2011 1st
Quarter |
30.09.2011 2nd
Quarter |
31.12.2011 3rd
Quarter |
|
Net Sales |
3480.300 |
3920.700 |
3861.200 |
|
Total Expenditure |
2613.600 |
2920.600 |
2965.900 |
|
PBIDT (Excl OI) |
866.700 |
1000.100 |
895.300 |
|
Other Income |
83.300 |
84.600 |
101.800 |
|
Operating Profit |
950.000 |
1084.700 |
997.100 |
|
Interest |
5.900 |
5.900 |
5.800 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
|
PBDT |
944.100 |
1078.800 |
991.300 |
|
Depreciation |
231.800 |
234.500 |
231.600 |
|
Profit Before Tax |
712.300 |
844.300 |
759.700 |
|
Tax |
108.300 |
163.600 |
112.400 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
604.300 |
680.700 |
647.300 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
|
Net Profit |
604.300 |
680.700 |
647.300 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2011 |
31.03.2010 |
31.03.2009 |
|
PAT / Total Income |
(%) |
28.84 |
20.21 |
11.32 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
39.03 |
24.49 |
23.71 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets) |
(%) |
26.14 |
15.62 |
14.75 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.26 |
0.18 |
0.16 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.30 |
0.42 |
0.33 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
3.08 |
2.38 |
2.63 |
LOCAL AGENCY FURTHER INFORMATION
|
Check List by Info Agents |
Available in Report (Yes / No) |
|
1. Year of Establishment |
Yes |
|
2. Locality of the firm |
Yes |
|
3. Constructions of the firm |
Yes |
|
4. Premises details |
Yes |
|
5. Type of Business |
Yes |
|
6. Line of Business |
Yes |
|
7. Promoter’s background |
Yes |
|
8. No. of Employees |
Yes |
|
9. Name of person contacted |
No |
|
10. Designation of contact person |
No |
|
11. Turnover of firm for last three years |
Yes |
|
12. Profitability for last three years |
Yes |
|
13. Reasons for variation <> 20% |
----- |
|
14. Estimation for coming financial year |
No |
|
15. Capital in the business |
Yes |
|
16. Details of sister concerns |
Yes |
|
17. Major suppliers |
No |
|
18. Major customers |
No |
|
19. Payments terms |
No |
|
20. Export / Import details |
Yes |
|
21. Market information |
------ |
|
22. Litigations that the firm / promoter involved |
------ |
|
23. Banking Details |
Yes |
|
24. Banking facility details |
Yes |
|
25. Conduct of the banking account |
------ |
|
26. Buyer visit details |
------ |
|
27. Financials, if provided |
Yes |
|
28. Incorporation details, if applicable |
Yes |
|
29. Last accounts filed at ROC |
Yes |
|
30. Major Shareholders, if available |
No |
RESULTS OF
OPERATIONS:
For the year ended March 31,2011
consolidated revenues grew by 17% driven by a strong growth in biopharmaceutical
segment, EBITDA grew by 24% and Profit after tax (PAT) grew by 25% to Rs. 3675
million as compared to Rs. 2932 million in the previous financial year.
The highlight of this past year was
the strategic partnership with Pfizer for taking their biosimilar insulin
global.
The standalone financial statements
reflect higher profits on account of transfer of certain intangible to
subsidiaries within the group, which are eliminated upon consolidation.
BUSINESS
OPERATIONS OVERVIEW AND OUTLOOK:
During the year, Company’s revenue
increased by 17% from Rs. 24048 million to Rs. 28137 million. The growth in
biopharmaceuticals sales was driven by a significant increase in sale across business
segments including statins, immunosuppressant’s and insulins. The
immunosuppressant’s segment specifically grew by over 30%. The domestic branded
formulations business grew 36% on increasing market share of key brands,
introduction of new products and the launch of two new divisions –
Immunotherapy and Comprehensive Care.
They have sought both research and
marketing partnerships as a way to access global markets and they have forged some key strategic partnerships this
year. The most visible and high-profile partnership that they recently
announced was with Pfizer to commercialize their insulins portfolio which is
going to be a very important growth driver in the foreseeable future.
Industry reports cite the insulin
market at about US$ 15 billion today and estimated to grow to a size of US$ 20
billion by 2020. The insulins space accounts for 46% of the total diabetes drug
segment. They estimate this business will continue to grow at about 6% per
annum going forward, factoring the advent of biosimilar insulins. Subject
partnership with Pfizer aims at addressing this very large opportunity first in
the emerging markets, which offer sizeable volume and thereafter at a later
stage, enter the developed markets. Clinical trials for recombinant human insulin
for the European Market are in progress and patient recruitments are currently
underway. Subject insulin business in India is also beginning to gain traction
and although their insulins business is merely seven years old, they have
steadily gained market share. In volume terms, they have around 11% share in
the insulin vial segment and around 13% market share in the glargine vial
segment. While the market has grown 11%, Subject sales in the segment has grown
by over 12%.
Another significant event in this
past year was the supply agreement with Optimer Pharmaceuticals for the supply
of Fidaxomicin API. Subject is the currently sole supplier of this product for
certain regulated markets and has been involved with this project from 2005.
They have made considerable progress
in their partnership with Mylan for developing biosimilar monoclonal antibodies
for the global markets. In addition to this, they have some very key strategic
research partnerships with Amylin, Vaccinex, the Center for Immunology in
Within the novel pipeline, the
Company released encouraging preliminary data from a recently concluded Phase
III clinical study conducted in
However, multiple secondary endpoints
on both efficacy and safety were met, further strengthening the emerging
profile of IN-105.
Their coveted T1h program for a
novel Anti-CD6 targeting monoclonal antibody is in Phase III clinical trials
for Psoriasis. Additionally, their novel anti-CD20 molecule (BVX 20 with
Vaccinex) has completed preclinical studies and they are scheduled to commence
clinical trials this year. Their novel programs are expected to unlock
substantial value upon licensing in the coming years.
SUBSIDIARIES AND
JOINT VENTURES:
SYNGENE
INTERNATIONAL LIMITED
Syngene continues to be one of the
leading contract research organizations in the country which offers integrated
services across discovery and development continuum. State-of-the-art
infrastructure, talented and experienced scientific and techno-commercial team,
flexibility of business models, robust communication systems, ability to
consistently deliver with quality and speed are some of the reasons why Syngene
has become a preferred partner of choice for several small, medium and large
companies around the world. In addition to pharmaceutical companies, Syngene
has developed a broad customer base in other industries including fine
chemical, petrochemical, agro, cosmetic and electronic companies.
During the year, Syngene continued
to successfully manage large relationships including those with Bristol-Myers
Squibb, Merck and DuPont Agro division which involved various aspects of drug
discovery and development research.
With the emergence of biologics over
past few years as important medicinal interventions, Syngene also offer
services in discovery and development of biologic molecules. Syngene’s
state-of-the-art biologics pilot plant is capable of delivering clinical trial
material of both bacterial and mammalian origin.
During the financial year 2010-11,
Syngene registered a strong growth of 21% in revenues from Rs. 2675 million to
Rs. 3231 million. Operational Margin (EBITDA) increased from Rs. 877 million to
Rs. 1005 million representing a 14% increase during the year.
Increased charge on account of
depreciation has led to a marginal decline in the net profit which was at Rs.
283 million for the year against of Rs. 308 million for the previous year.
CLINIGENE
INTERNATIONAL LIMITED
For the year, Clinigene registered
revenues of Rs. 289 million Clinigene had a challenging year and has incurred a
loss of Rs. 37 million on account unfavourable market conditions, delay in
study startup and intensive pricing pressures.
Clinigene is continuing to evolve
and adapt its capability platforms and service offerings against a background
of continued macro market pressure as global R and D spends are being reduced,
consolidation of market players continues and the shift to globally capable
preferred partnerships accelerates. In addition to their standard service
platforms, they have identified several more specialized areas, for example
patient based early studies, complex BA/BE studies and immunoanalytical
services where Clinigene offers strong capabilities. They believe that, these
new speciality services, which have relatively high entry barriers, will allow
us to drive new and differential revenue opportunities.
BIOCON
BIOPHARMACEUTICALS PRIVATE LIMITED
During the year Biocon
Biopharmaceuticals Private Limited (BBPL) became a wholly owned subsidiary of
the Company. For the year , BBPL earned revenues of Rs. 491 million as against
Rs. 381 million in the previous year. The net profits for the year stood at Rs.
192 million as against Rs. 26 million in the previous year.
BIOCON RESEARCH
LIMITED
Biocon Research Limited (BRL) is a
wholly owned subsidiary set up to undertake discovery and development research
work in biologics, antibody molecules and proteins. For the current year BRL
registered revenues of Rs. 649 million as against Rs. 392 million in the
previous year. BRL continues to progress the development activity on the
monoclonal antibody program in joint collaboration with Mylan. BRL has reported
a net loss of Rs. 322 Million for the year ended March 31, 2011 against a loss
of Rs. 51 million in the previous year.
Being a research driven enterprise,
the Company is in the initial stage of operations and has enlarged its scope to
other challenging research projects during the year.
BIOCON SA
Biocon SA, a wholly owned subsidiary
in
AXICORP GMBH
AxiCorp is a specialized Pharma
marketing and distribution company based in
For the current financial year,
AxiCorp revenues rose from Rs. 9117 million to Rs. 9800 million. The Company
earned a net profit of Rs. 353 million for the year against Rs. 299 million for
the previous year. Given the synergies brought about by the Pfizer partnership,
the Company has decided to divest its 78% stake in AxiCorp to the existing
group of promoter shareholders.
NEOBIOCON FZ LLC
NeoBiocon FZ LLC is a pharmaceutical
research and marketing company based at
During the current year, NeoBiocon
registered significant growth in revenue to Rs. 60 million and a net profit of
Rs. 21 million.
In addition to launching oncology
products. NeoBiocon’s range of branded generic products, now approved by the
UAE Ministry of Health, has been successfully launched to address the
therapeutic segments of cardiology, diabetology and infection management.
BIOCON SDN. BHD.
During the year, Company has
incorporated a wholly owned subsidiary in
In the first phase of capital outlay
the Company envisages an investment of US$ 161 million and expects the facility
to go on stream by year 2015.
MANAGEMENT
DISCUSSION AND ANALYSIS
INDUSTRY OVERVIEW, OPPORTUNITIES AND OUTLOOK
The Indian Pharmaceutical sector is
now aiming for the next big opportunity in pharmaceutical manufacturing viz.
Biologics, especially bio-similars.
The biopharmaceutical market is
currently worth nearly US $137 billion and growing rapidly. Industry experts
estimate that it could be worth US $319 billion by 2020. Moreover, at least 48
biologic products with combined sales of nearly US $60 billion are due to come
off patent over the next decade. Today
BUSINESS AND OPERATIONAL OVERVIEW
During this year, Subject total
revenues increased by 17% from Rs. 24048 million to Rs. 28136 million. The
growth in biopharmaceuticals sales was driven by a significant increase in
sales across business segment including statins, immunosuppresants and
insulins. The immunosuppresants segment grew over 30%. The domestic branded
formulations business grew 36% on key brands successfully increasing market
share and the introduction of new products in two new divisions – Immunotherapy
and Comprehensive Care.
PORTFOLIO APPROACH
Biocon has successfully developed comprehensive
portfolios of statins and immunosuppressants as generic APIs in the small
molecule space and this has contributed to 75% of their revenues and delivered
a sustainable 5-year CAGR of 24%. The path ahead is to expand their small
molecule portfolios to prostaglandins and peptides. Biocon is selective about
the portfolios that it chooses and hopes to move up the value curve from APIs
to dossiers, especially in the ANDAs. They believe that this approach will give
us and drive much higher value growth for us in the year ahead. Their approach
in large molecules has been, again, a portfolio approach where they have
focused on 2 broad portfolios; the first is the insulins which includes
recombinant human insulin and insulin analogs, and the second portfolio is the
monoclonal antibodies basket. In the large molecule space, however, they have
chosen to straddle both biosimilars as well as novel programs as a
risk-balanced strategy where they believe that the novel programs have the
potential of large upside, if successful. Their portfolio approach has yielded
good financial returns and has allowed us to forge very strong partnerships.
RESEARCH AND MARKETING PARTNERSHIPS
ARE THE WAY TO GO
They have sought both research and
marketing partnerships as a way to access global markets and they have forged
key strategic partnerships this year. The most visible and high-profile
partnership that they recently announced was with Pfizer to commercialize their
insulins portfolio which is going to be a very important growth driver for the
Company in the foreseeable future.
Industry reports cite the insulin
market at about US$ 15 billion today and estimated to grow to a size of US$ 20
billion by 2020. The insulins space accounts for 46% of the diabetes drug
segment. They estimate this business will continue to grow at about 6% per
annum going forward, factoring in the advent of biosimilar insulins. Of course,
it is well-recognized that insulin analogs are rapidly outpacing recombinant
human insulin and it is also well-accepted that biosimilar insulins are
inevitable.
They think there are compelling
reasons for biosimilar insulins to enter the regulated markets, driven by
escalating concerns on cost of therapies in these markets, clarity on
regulatory path ways and expiry of patents on product analogues.
They highlight them below –
1. Cost compulsions are likely to
escalate in the regulated markets over the next few years with ageing
populations and this makes a strong case for biosimilars;
2. Regulatory pathways for approval
more or less clear;
3. Product patents on the analogues
expiring through 2019. Market data indicates the growth of diabetic population
across the world and more pronounced in developing economies specifically in
Subject partnership with Pfizer aims
at addressing this very large opportunity first in the emerging markets, which
themselves offer sizeable markets and then at a later stage, enter the U.S. and
European markets. Clinical trials for recombinant human insulin for the
European Market are currently underway with the aim of an entry within the next
few year.
Subject insulin business in India is
also beginning to gain traction and although their insulins business is merely
seven years old, they have steadily gained market share in volume. In volume
terms, they have around 11% share in the insulin vial segment and 13% market
share in the Glargine vial segment. They expect to roll out devices in the
second half of 2011 and this, they believe, will enable us to increase market
share. At a growth level, they have outpaced both the market and the market
leader in the insulin vial segment. While the market has grown 11%. Subject has
grown by 13% in value terms. They also are going to be sharing the Indian
market with Pfizer starting this year, and this co-exclusive marketing
arrangement is expected to help get us higher market share going forward.
They have made considerable progress
in their partnership with Mylan for developing biosimilar monoclonal antibodies
for the global markets. In addition to this, they have some very key strategic
research partnerships with Amylin, Vaccinex, Center for Immunology in
Another supply partnership in this
past year is with Optimer Pharmaceuticals for the supply of Fidaxomicin API.
Biocon is the sole supplier of this product for
LATE-STAGE NOVEL PROGRAMS TO SEE
UNLOCKING OF VALUE
Their novel pipeline comprises of products
in diabetes, oncology and auto-immune diseases.
Within their novel pipeline, the
Company released encouraging preliminary data from a recently concluded
clinical study conducted in
Their coveted T1h program for a
novel Anti-CD6 targeting monoclonal antibody is in Phase III clinical trials
for Psoriasis. The target indications are expected to address a market size of
US$ 20 billion by 2015. Additionally, their novel anti-CD20 molecule has
completed preclinical studies and is expected to get into the clinic in
EMERGING MARKETS ARE LARGE AND OFFER
GREAT GROWTH OPPORTUNITIES
The emerging markets are going to be
high growth, high-return markets for Biocon. They have already delivered a 40%
growth in their emerging markets business this year and they expect to improve
on this in the years ahead. Biosimilar insulins are certainly going to be very
important for these emerging market strategies. The current emerging market
estimate for this insulin business is about US$ 1.5 billion with a 5-year CAGR
of 15%. Estimated at US$ 5 billion by 2020, the insulin market in the emerging
economies account for 70% of the world’s diabetic population they offer us
quick market entry. Biosimilar Mabs in the emerging markets are also a very
important opportunity for us. Generics, again, are going to be extremely
important for this as APAC alone accounts for 16% of the US$ 124 billion
generics market with the fastest growth rate.
TREND OF EXTERNALIZING R AND D
CONTINUES ON A FIRMER PATH
The research services landscape
continued to be challenging this year. While Big Pharma is still externalizing
over 22% of its R and D, they also see risk sharing and resource sharing models
evolve along with a move from component to integrated discovery programs and
from chemistry to biologics. It is no longer cost, time and productivity
arbitrage that are rationales for externalizing research. Finally, although Big
Pharma can in-license from small biotechs in order to fill up the research
pipelines, it is amply clear that this is not adequate. This is the main reason
why externalizing the development of biologics is becoming a big opportunity
for their research services companies, Syngene and Clinigene. Both are very
well-positioned to offer this integrated platform of end-to-end solutions for
both NCEs and NBEs. An important partnership that they have developed in this
risk sharing integrated model is BBRC, which is a dedicated, integrated R and D
hub customized for Bristol-Myers Squibb to pursue pipeline development. This
facility has over 450 scientists and it works in a seamless way with its labs
back in the
BIOPHARMACEUTICALS
Their business focus is on the
manufacturing and marketing of biopharmaceuticals that require fermentation and
synthetic chemistry skills.
STATINS AND ORLISTAT:
Statins are cholesterol-lowering
agents used to treat and prevent coronary diseases and are amongst the largest
selling drugs worldwide. Their statins portfolio presently comprises
Simvastatin, Pravastatin, Atorvastatin, Fluvastatin, Lovastatin and
Rosuvastatin. Biocon is primarily selling Statins across
Their Statins segment grew 13% YoY
despite pricing pressures owing to enhanced capacity enabled by improved
productivity. The Statins portfolio witnessed a changing product mix in this
financial year. Atorvastatin and Rosuvastatin gained share in Statins
portfolio. Orlistat a drug in the anti obesity saw a significant sales growth
primarily an account of ban on its peer’s.
INSULINS:
Insulin is a hormone that regulates
the energy and glucose metabolism in the body. Biocon markets recombinant human
insulin in
IMMUNOSUPPRESSANTS:
Immunosuppressants prevent organ and
tissue rejection in transplants and require high technology based manufacturing
capabilities. Currently Subject produces mycophenolate mofetil (MMF), sirolimus
and tacrolimus.
This segment posted a 35% YoY growth
driven by patent expiry despite pricing pressures.
BRANDED FORMULATIONS:
Branded formulations are finished
dosages currently sold in
Their Company is positioning itself
as a key player in diabetes therapy on a global scale. There was significant
revival in the insulins franchise both in the Insugen and Basalog. The launch
of Insugen 100, the global standard, has been widely accepted by diabetic
fraternity. Biocon has focused its efforts to improving diabetes care in
The Comprehensive Care and
immunology division was launched in the current fiscal with a vision of
providing quality and affordable therapy in the critical care segment.
Subject pipeline of innovative and
biosimilar molecules as well as marketing partnerships will be the driving
force to expand in India and other markets in the years to come.
The Subject formulation division
dedicated marketing team of over 1,100 people for the finished dosages
business.
PERFORMANCE OF SUBSIDIARIES, JOINT VENTURES AND ASSOCIATES
SYNGENE INTERNATIONAL LIMITED
Syngene is a 99.99% owned subsidiary
of the Company. Syngene was incorporated on November 18, 1993. Syngene operates
in two main research areas: Synthetic Chemistry and Molecular Biology. Syngene
is also involved in custom chemical synthesis. During the year, Syngene has
confidently moved into Integrated Drug Discovery services.
Syngene’s total income primarily
consists of net sales from Contract research and manufacturing services income.
Substantially all of Syngene’s contracts are based on time and material
management. Revenue from these contracts is recognized when services are
rendered, in accordance with the terms of the contract. Syngene’s total revenue
has increased from Rs. 2675.660 millions to Rs. 3231.378 millions representing a growth of 21%. The
growth in operations is supported by increase in revenues from existing and new
customers.
Syngene’s expenses mainly comprise
of raw-material costs and staff costs. Raw material cost consists of lab
consumables used for research. The raw material costs increased by 27% from Rs. 688.117 millions to Rs. 876.148
millions in fiscal 2011 and the staff costs increased by 20% from Rs. 666.393 millions to Rs. 800.278
millions. Increase in material cost and increase in staff costs are due to a
growth in sales. Other costs increased by 24% from Rs. 443.585 millions to Rs. 550.195
millions.
Net profit for the year has
decreased by Rs. 25.400 millions from Rs. 308.144 millions to Rs. 282.744
millions mainly due to increase in depreciation by Rs. 58.277 millions from Rs. 450.872
millions in the year ended March 31, 2010 to Rs. 509.149
millions in the year ended March 31, 2011.
CLINIGENE INTERNATIONAL LIMITED
Clinigene is a 100% owned subsidiary
of Biocon Limited. Clinigene was established to undertake clinical and other
trials and validation for drugs and pharmaceuticals and to conduct research in
the area of medical sciences for development of new and improve upon existing
medical diagnostic, surgical and therapeutic techniques.
Clinigene’s total income principally
consists of income from clinical research fees and also Bio-analytical and
Bio-equivalence studies. Clinigene enters either into time and material
contracts and/or fixed price arrangements. Revenue from time and material
contracts are recognised on a monthly basis as services are rendered in
accordance with the terms of the applicable contracts. Revenue from fixed price
contracts is recognized based on the percentage completion method. For the year
ended March 31, 2011, Clinigene has total revenue of Rs. 289.337 millions. Clinigene is continuing to evolve
and adapt its capability platforms and service offerings against a background
of continued macro market pressure as global RandD spends are being reduced,
consolidation of market players continues and the shift to globally capable
preferred partnerships accelerates.
During the year, the Company has
identified several more specialized services for example patient based early
studies, complex BA/BE studies and bio-analytical services. These new specialty
services, which have relatively high entry barriers, will drive new and differential
revenue opportunities. Studies conducted by Clinigene were successfully audited
by the USFDA and EMA.
BIOCON BIOPHARMACEUTICALS PRIVATE LIMITED
BBPL was incorporated on June 17,
2002 and currently has paid-up share capital is Rs. 176.000
millions. In April 2010, Biocon SA acquired the 49% equity stake held by CIMAB
SA in BBPL. In March 2011, Biocon purchased the 49% equity stake in BBPL from
Biocon SA. Consequently, as at March 31, 2011 all the equity shares of BBPL are
held by Biocon.
For the year, BBPL earned revenues
of Rs.
491611 as against Rs. 381.302
millions in the previous year. BBPL has commenced full fledged operations and
for the year posted a net profit of Rs. 192.047 millions as against Rs. 26.062 millions in the previous year.
As at March 31, 2011, BBPL had
accumulated losses of Rs. 159.238 millions.
BIOCON RESEARCH LIMITED
Biocon Research Limited (‘BRL’) was
incorporated in 2008, as a wholly owned subsidiary of Biocon Limited and is
engaged in carrying out research and development of new drugs, drug delivery
systems and contract research.
Total revenue of BRL increased from Rs. 392.944 millions to Rs. 649.591
millions in fiscal 2011.
BRL spends in research and
developments expenses increased from Rs. 416.649
millions to Rs. 940.991 millions in fiscal 2011.
Neobiocon
NeoBiocon FZ LLC. is a research and
marketing pharmaceutical Company based in
Financials of NeoBiocon were
consolidated based on the Accounting Standard 27 – Financial Reporting of
Interests in Joint Venture issued by ICAI. Accordingly, only 50% of the
operations incorporated for the consolidation purpose. NeoBiocon’s turnover has
increased from Rs. 23.927 millions to Rs. 59.608 millions representing a significant growth
in business and net profit has increased from Rs. 2.713
millions to Rs. 21.243 millions for fiscal 2011.
IATRIC A INC
Biocon has made a strategic
investment of Rs. 138.470 millions in a
BIOCON SA
Biocon SA a wholly owned subsidiary
was incorporated in year 2009 in
AXICORP GMBH
During the year 2009, Biocon SA
acquired 71% stake in AxiCorp GmbH,
Axicorp operations are consolidated
with the financial results of the group with a 3 month lag. The Company
registered revenue of Rs. 9800.683 millions and PAT of Rs. 353.225 millions for year ended December 31, 2010
as against revenue of Rs. 9117.360 and of Rs. 299.322 millions for year ended December 31, 2009.
Axicorp has contributed 35 % to the
group revenues and 8% to the group net profit for the year ended March 31,
2011.
Consequent to an offer made by the
minority shareholders of AxiCorp, Biocon would divest its stake in its German
subsidiary, AxiCorp GmbH, to the existing group of promoter shareholders.
Biocon had entered into a global
alliance with Pfizer in October 2010. This divestment is in line with the
objectives of the global alliance wherein the synergies derived from global
development and investments can be leveraged for the German market as well.
BACKGROUND
Subject was incorporated at
Bangalore in 1978 for manufacture of biotechnology products. Syngene
International Limited ('Syngene'), promoted by Dr Kiran Mazumdar Shaw, was
incorporated at
On January 10, 2008, Biocon entered
into an agreement with Dr. B.R. Shetty to set up a joint venture company
NeoBiocon FZ-LLC, incorporated in
The Company has also established Biocon
Research Limited (‘BRL’), a subsidiary of the Company to undertake research and
development in novel and innovative drug initiatives.
Effective April 30, 2008, Subject
acquired 71% equity interest in AxiCorp GmbH, Germany (‘AxiCorp’) through its newly
incorporated wholly owned subsidiary company Biocon SA, Switzerland. In
February 2009, Biocon SA acquired an additional 7.4% equity interest in
AxiCorp. Also, refer note 5 of Schedule 17.
Subject entered into an agreement
with CIMAB SA (‘CIMAB’) to set up a Joint Venture Company Biocon
Biopharmaceuticals Private Limited (‘BBPL’) to manufacture and market products
and carry out research activities. BBPL was incorporated on June 17, 2002 with
Biocon holding 51 per cent of share capital. In April 2010, Biocon SA acquired
the 49% equity stake held by CIMAB SA in BBPL. In March 2011, Biocon purchased
the 49% equity stake in BBPL from Biocon SA. Consequently, as at March 31, 2011
all the equity shares of BBPL
are held by Biocon.
Subject is an integrated healthcare
company engaged in manufacture of biotechnology products for the pharmaceutical
sector. The Company is also engaged in research and development in the
biotechnology sector. During the year ended March 31, 2007, the Company had
received an approval as the developer as Biocon SEZ at the
WEB DETAILS
BUSINESS
DESCRIPTION:
Subject is a global biopharmaceutical company with products
and research services ranging from pre-clinical to clinical development through
to commercialization. Within biopharmaceuticals, the Company manufactures
generic active pharmaceutical ingredients (APIs), such as Statins and
Immunosuppressants that are sold in the developed markets of the
Subject focuses on the
research, development, manufacture and commercialization of biopharmaceutical
products including active pharmaceutical ingredients and biologicals. The company
operates in a single business segment of Bio-pharmaceuticals. The company
divided its Bio-pharmaceuticals segment into two divisions, namely, active
pharmaceutical ingredients (Pharma) division and contract research services
division. Pharma division of the company manufactures and markets APIs,
biologicals, branded formulations and dosage forms. APIs include anti diabetic
agents, anti-inflammatory agents, anti-oxidants, cardiovascular agents,
anti-obesity agents, digestive-aid enzymes, hemostatic agents, hepatoprotective
agents, immunosuppressants, gastro-intestinal agents and neutraceuticals. The
company offers human insulin, insulin glargine, insulin lispro, insulin aspart,
erythropoietin, filgrastim, streptokinase and monoclonal antibodies. Its oral
insulin products IN-105 and T1h are in development stage. Branded formulations
are developed for four therapeutic areas, namely, Oncology, Nephrology,
Cardiology and Diabetology. For the fiscal year ended 2011, the company
reported revenue of INR2,453m for the Pharma division, reflecting an increase
of 17.5% over revenue in 2010. The division accounted for 87.67% of the
company’s total revenue in 2011.The company through its subsidiary companies,
Syngene and Clinigene provides conventional and clinical research services, and
contract manufacturing services to international pharmaceutical and
biotechnology. It offers contract manufacturing services in various areas such
as mammalian and microbial cell culture fermentation; synthetic chemistry;
formulation development; and vials, cartridges, lyophilized, pre filled
syringes and fill finish services. For the fiscal year ended 2011, the company
reported revenue of INR3,448m for the Contract research division, reflecting an
increase of 13.4% over revenue in 2010. The division accounted for 12.33% of
the company’s total revenue in 2011. Biocon focuses on research and development
(R and D) activities to develop innovative products in the market. It has also
established Biocon Research Limited as a wholly owned subsidiary to undertake
research in novel and innovative drug initiatives. The company spent INR82.25m
on its R and D activities which accounted for 0.29% of the total revenue of the
company for fiscal year ended 2011.The company offers its products and services
across the world through subsidiaries, joint ventures affiliates and marketing
partnerships. The company has five subsidiaries, namely, Syngene International
Limited, Clinigene International Limited, Biocon Biopharmaceuticals Private
Limited, Biocon SA and Biocon Research Limited. Its joint ventures include
NeoBiocon FZ LLC, Iatrica Inc, and Axicorp GmbH. Geographically, the company
classifies its revenue in two areas, namely,
Subject is a fully integrated healthcare company engaged in
the manufacturing of biopharmaceutical products through using
fermentation-based technology. The company produces wide range of active
pharmaceutical ingredients (APIs), branded formulations and biologicals. Its
core therapeutic areas include anti-diabetic, cardiovascular,
anti-inflammatory, anti-obesity, hemostatic, hepatoprotective,
gastro-intestinal, neutraceuticals, digestive-aid enzymes, immunosuppressants
and anti-oxidants. In addition, the company provides contract manufacturing and
research services in various fields such as mammalian and microbial cell
culture fermentation; formulation development; synthetic chemistry; and vials
to biotechnology and pharmaceutical companies. Biocon operates across the world
through its subsidiaries and joint ventures. The company is headquartered in
Produces biopharmaceutical health care products using proprietary fermentation technologies to develop biomolecules
Subject (India) is a fully
integrated biotechnology enterprise and focuses on biopharmaceuticals, customer
research, clinical research and enzymes. The company develops innovative and
effective biomolecules in diabetology, oncology, cardiology and other
therapeutic segments. Biocon was the first Indian company to manufacture and
export enzymes to the
BOARD OF DIRECTORS :
DR. KIRAN
MAZUMDAR-SHAW
Dr. Kiran Mazumdar-Shaw is Executive Non-Independent
Chairman of the Board, Managing Director of Biocon Limited, is a first generation
entrepreneur with more than 30 years experience in the field of biotechnology.
After graduating in B.Sc. (Zoology Hons.) from
MR. JOHN M. M. SHAW
Mr. John M. M. Shaw is Executive Non-Independent Vice
Chairman of the Board of Biocon Limited He is also a controlling shareholder
and director of Glentec International. He completed his M.A. (Economic Hons.)
in History and Political Economy from
DR. NEVILLE C. BAIN
Dr. Neville C. Bain is Non-Executive Independent Director of
Biocon Limited He has experience in the field of finance, strategy and general
management. He graduated from
DR. PROFESSOR CHARLES
L. COONEY
Dr. Professor Charles L. Cooney Ph.D., is Non-Executive
Independent Director of Biocon Limited He is the Professor of Chemical and
Biochemical Engineering, Faculty Director of the
DR. BALA S. MANIAN
Dr. Bala S. Manian is Non-Executive Independent Director
with Biocon Limited He has been a part of the
PROFESSOR RAVI
MAZUMDAR
Professor Ravi Mazumdar Ph.D. is Non-Executive
Non-Independent Director of Biocon Limited He completed his Ph.D from the
MR. SURESH TALWAR
Mr. Suresh Talwar is Non-Executive Independent Director of
Biocon Limited He is a partner in Talwar Thakore and Associates a law firm of
repute. He completed his B.Com from the
HISTORY
November 29, 1978
Subject Founding
Day - the start of a biorevolution in India. Over the years, Biocon has evolved
from an enzyme-manufacturing company into a fully integrated biopharmaceutical enterprise.
Today, we leverage a formidable combination of proprietary fermentation
technologies and research skills to develop affordable therapy for unmet
medical needs
Subject India is
incorporated as a joint venture between Biocon Biochemicals Limited of Ireland
and an Indian entrepreneur, Kiran Mazumdar-Shaw
1979
Subject is the first Indian company to manufacture and export enzymes to USA
and Europe
1989
Unilever plc.
acquires Biocon Biochemicals Limited in Ireland and merges it with its
subsidiary, Quest International
Subject is the first Indian biotech company to receive US funding for
proprietary technologies
1990
Subject scales up its in-house research programme, based on a proprietary solid
substrate fermentation technology, from pilot to plant level
1993
Subject R and D and manufacturing facilities receive ISO 9001 certification
from RWTUV, Germany
1994
Subject establishes Syngene International Private Limtied as a Custom research
Company (CRC) to address the growing need for outsourced R&D in the
pharmaceutical sector
1996
The commercial success of Subject proprietary fermentation plant leads to a
3-fold expansion
Subject leverages
its technology platform to enter biopharmaceuticals and statins
1997
Subject spearheads initiatives in human healthcare through a dedicated
manufacturing facility
1998
Unilever inks a deal with ICI to sell its specialty chemicals division of which
Quest International is a part. Unilever agrees to sell its shareholding in
Subject to the Indian promoters. Subject becomes an independent entity
2000
Subject commissions its first fully automated submerged fermentation plant to
produce specialty pharmaceuticals
Subject establishes Clinigene, India's first Clinical Research Organization
(CRO) to pursue clinical research and development
2001
Subject becomes the first Indian company to be approved by US FDA for the
manufacture of lovastatin, a cholesterol-lowering molecule
Subject
proprietary bioreactor, PlaFractor™ is granted a US 2001 and world-wide patent
2002
Clinigene's clinical laboratory is the first in India to receive CAP
accreditation
2003
Subject is the first company worldwide to develop human insulin on a Pichia
expression system
2004
Subject creates a buzz in the stock market in March 2004 with its hugely
successful IPO. Day 1 on the bourses closes with a market value of $1.11
billion, making Biocon only the second Indian company to cross the $1 billion
mark on the first day of listing.
Syngene
establishes new research centre
Subject, announces
the launch of INSUGEN®, the new generation bio-insulin, manufactured
in Asia's largest human insulin plant.
Subject and
Vaccinex, Inc. announce a broad strategic partnership to discover and
co-develop at least four therapeutic antibody products.
2005
Subject signs a commercial agreement for supply of insulin API to Asia, Africa
and the Middle East.
2006
Subject inaugurates Biocon Biopharmaceuticals, India's largest multi-product
Biologics facility at Biocon Park
Subject inaugurates Biocon Park, India's largest integrated biotechnology hub,
comprising an integrated cluster of research laboratories and manufacturing
facilities spread across 90 acres in KIADB (Karnataka Industrial Areas
Development Board) industrial estate.
Subject announces
a licensing agreement with Bayer HealthCare (BHC) for the exclusive marketing
and trademark rights for INSUGEN® for the Chinese market.
Syngene and Innate
Pharmaceuticals AB, Umea, Sweden conclude a cooperation agreement to jointly
develop, manufacture and market virulence blockers to counteract bacterial
diarrhoeal disease.
Subject launches
India's first anti-cancer drug BIOMAb EGFR®.
2007
Subject and Abu Dhabi based pharmaceutical company Neopharma sign an MOU to
establish a JV to manufacture and market a range of biopharmaceuticals for the
GCC countries (Gulf Cooperation Council).
Subject grants
exclusive license to Ferozsons Laboratories Limited for marketing BIOMAb EGFR®
in Pakistan.
Subject announces the
launch of its Nephrology Division and a comprehensive portfolio of renal
therapy products.
Syngene enters
into a research partnership with Bristol-Myers Squibb and completes the ground
breaking ceremony of new research facility at Biocon Park.
Subject signs
Memorandum of Understanding with Deakin University, Australia. To establish
Deakin Research Institute in Bangalore
Subject iocon
divests enzymes division for USD 115 million to Novozymes. Biocon business
portfolio to focus on biopharmaceuticals
Subject and Abraxis BioScience, announce an agreement wherein Abraxis will
license the right to develop a biosimilar version of G-CSF (Granulocyte-Colony
Stimulating Factor) in North America and the European Union.
Subject and
Neopharma sign an MoU to establish Neobiocon, a joint venture company in
Dubai's biotechnology and research park, Dubiotech.
Subject and
Abraxis BioScience Inc., announce a licensing agreement for the
commercialization of ABRAXANE® (paclitaxel protein-bound particles
for injectable suspension) (albumin-bound) in India.
Subject presents
the results of Phase 1 studies on its oral insulin product, IN-105 at the
European Association for Study of Diabetes (EASD) meeting held at Amsterdam.
2008
Subject acquires a 78% stake in German pharmaceutical company, AxiCorp GmbH for
a consideration of €30 Million
Subject launches a Safety Device in the form of pre-filled syringes for two of
its life saving products, GCSF (granulocyte-colony stimulating factor) and EPO
(Erythropoietin) in collaboration with Safety Syringes Inc. ERYPRO Safe™ and
NUFIL Safe™ are the first two drugs that will marketed using this novel device
with other injectable products to follow in the future.
Subject and
Abraxis Bioscience launch ABRAXANE in India for treatment of Breast Cancer.
Subject is ranked
among the top 20 global biotechnology companies (Med Ad News).
Subject is the 7th
largest biotech employer in the world (Med Ad News).
Subject announced
the results of an ascending dose study on its oral insulin drug (IN-105) at the
European Association for the Study of Diabetes (EASD) meeting in Rome.
NeoBiocon and
Abraxis Bioscience launch Abraxane in The UAE for the treatment of Breast
Cancer.
2009
Subject Syngene partners with Sapient Discovery to expand integrated drug discovery
offerings
Subject Syngene
and DuPont Crop Protection Forge Alliance Partnership
Bristol-Myers
Squibb and Biocon's Syngene open new R&D Facility at Biocon Park
Subject launches
BASALOG - long lasting basal insulin for Type 1 & Type 2 Diabetics
Subject inks
partnership with ISB to launch the Biocon Cell for Innovation Management
Subject Announces
Strategic Collaboration with Mylan to enter the Global Generic Biologics Market
Subject Limited
and Amylin Pharmaceuticals entered into a Global Development and
Commercialization Agreement for a Novel Peptide Hybrid. The Program will focus
on the potential treatment of diabetes.
Subject and HCG
group of hospitals join hands to fight against cervical
2010
Subject explores investment
in Malaysia in partnership with BiotechCorp
Subject and Bayer
join hands to create awareness for self monitoring for diabetics
Syngene and Endo
Pharmaceuticals, USA to jointly discover and develop novel
biological drug molecules to fight cancer
Subject acquires
stake of its Cuban partner CIMAB S.A. in their seven year old JV, Biocon
Biopharmaceuticals Private Limited
Subject and
Optimer Pharmaceuticals announce manufacturing and supply agreement for a novel
API, first-in-class anti-infective (C. difficile)
Subject and the
Center of Molecular Immunology (CIM), based in Havana, Cuba strengthen their
existing research partnership by joining forces for an integrated
antibody program in immunology
Subject announces a
strategic foreign direct investment in Malaysia with the Malaysian
Biotechnology Corporation SdnBhd (BiotechCorp)
2011
Subject divests
its stake in its German subsidiary, AxiCorp GmbH, to the existing group of
promoter shareholders, AxiCorp was the licensee for Biocon's biosimilar
Insulin and Glargine in Germany and had the sole responsibility for
commercializing these products. As a consequence of this divestment, these
rights revert to Subject.
Subject launches
INSUPen®, a convenient and affordable reusable insulin delivery
device
AWARDS
Kiran
Mazumdar-Shaw has received several awards on behalf of Biocon and in her
personal capacity as one of India's leading business entrepreneurs.
Biocon:
2012
Subject wins Best Exhibitor Award in the category of Biocontent and Information
at Bangalore India Bio
Subject wins Golden Peacock National Quality Award
2011
Subject wins Biospectrum BioPharma Company of the year award
2010
Biocon wins Bio-Excellence Award for Outstanding Achievement in the Healthcare
Sector at Bangalore India Bio
2009
Subject among Top 20 Indian companies in Forbes ‘Best Under A Billion’ list.
Subject wins
Bio-Excellence Award for Outstanding Achievement in the Healthcare Sector at
Bangalore Bio
Syngene wins
Bio-Excellence Award for outstanding achievement in the Biotech Service Sector
at Bangalore Bio
Subject bags IDMA
"Best Patent of the year" award
BIOMAb EGFR® was
voted ‘Bio-Spectrum Asia-Pacific Product of the year’, 2008
Subject wins
prestigious BioSingapore Asia Pacific Biotechnology Award for Best Listed
Company
2008
Subject is ranked among the top 20 global biotechnology companies (Source: Med
Ad News, June 2008)
Subject is the 7th largest biotech employer
in the world (Source: Med Ad News, June 2008)
2007
Syngene receives "BioServices
Company of the Year", BioSpectrum Awards
Subject BIOMAb
EGFR® wins "Product of the Year", BioSpectrum Awards
2006
Best IT User Award
in the Pharmaceutical Sector, NASSCOM
2004
India's first and
No. 1 biotech company with a global ranking of 16* (Source: Biospectrum July
2004)
Subject in India's
top 5 Life Sciences companies (at close of trade as on July 30, 2004)
Best Reinvention
of HR Function Award, Indira Group, Mumbai
Best Employer of
India Award, Hewitt
2003
Bio-Business Award for bio-entrepreneurship, Rabo India
Express Pharma
Pulse Award for excellence in the pharmaceutical industry
2001
Biotech Product, Process Development and Commercialisation Award, Department of
Biotechnology, Ministry of Science and Technology, Government of India
2000
Technology Pioneer Recognition, World Economic Forum
1985
Export Performance
Award, Karnataka State Financial Corporation (KSFC)
National Award for
Best Small Industry, Government of India
Kiran Mazumdar-Shaw:
2012
Featured on Forbes Asia's 50 Power Businesswomen List.
Fierce Biotech,
Biotech industry's daily monitor placed Kiran Mazumdar-Shaw among 25 most
influential people in Biopharma Business.
2011
Featured on the Financial Times ‘Top 50 Women in Business’ list.
2010
Featured on the Forbes list of ‘The World’s 100 Most Powerful Women’.
Featured on the
Financial Times ‘Top 50 Women in Business’ list.
Named among TIME
magazine’s 100 most influential people in the world.
2009
Honoured with 'Nikkei Asia Prize' for Regional Growth
Honoured with
'Express Pharmaceutical Leadership Summit Award' for Dynamic Entrepreneur
2008
Honorary Degree of Doctor of Science from the Heriot-Watt University, Edinburgh
Honorary Degree of
Doctor of Science from the University of Glasgow
2007
Honoured with the, 'Veuve Clicquot Initiative for Economic Development for
Asia' award
Honorary Doctor of
Technology, University of Abertay, Dundee (UK)
2005
Padmabhushan Award , one of India's highest civilian honours, from the
President of India, Dr. APJ Abdul Kalam
Honorary Degree of Doctor of Science (Honoris Causa) from Indian Institute of
Technology, Roorkee
The Indian Chamber
of Commerce Lifetime Achievement Award
Honorary Doctorate
from Manipal Academy of Higher Education (MAHE), in recognition of outstanding
achievements in biotechnology and industrial enzymes
Rotary Award for
Corporate Citizenship
Business Leader of
the Year Award - Biotechnology, Chemtech-Pharma Bio Awards
2004
Honorary Doctorate of Science from Ballarat University, in recognition of
pre-eminent contribution to the field of biotechnology
Business Woman of The Year Award, The Economic Times
2003
Alumni High
Achiever Award, Australian Alumni Association
2002
Karnataka Rajyotsava Award for pioneering biotechnology in India, the
Government of Karnataka
Best Entrepreneur:
Healthcare and Life Sciences Award, Ernst and Young
Sir M.
Visvesvaraya Memorial Award for contribution to biotechnology, Federation of
Karnataka Chambers of Commerce and Industry (FKCCI)
1999
Woman of the Year Award, International Women's Association, Chennai
1998
Golden Jubilee Felicitation, Mount Carmel College, Bangalore
1989
Padmashri for pioneering biotechnology in India, Government of India
1987
Outstanding Young
Person Award, Jaycees India
1983
Best Small Scale
Industry in Karnataka Award, Rotary Club, Karnataka
Best Model
Employer Award, Rotary Club, Karnataka
Outstanding
Contribution Award, AWAKE
1982
Best Woman Entrepreneur Award, National Institute of Marketing Management,
India
PRESS RELEASE:
ABBOTT
INAUGURATES FIRST NUTRITION RESEARCH AND DEVELOPMENT CENTER IN INDIA IN
COLLABORATION WITH SYNGENE
June 04, 2012
BANGALORE, INDIA, Abbott, one of India's largest healthcare companies,
today inaugurated its first nutrition research and development center in the
country, in collaboration with Syngene, India's leading contract research
organization. The Abbott Nutrition Researh and Development Center was
inaugurated by Dr. Sam Pitroda, Advisor to the Prime Minister of India on
Public Information Infrastructure and Innovations and Chairman of the National
Innovation Council.
The state-of-the-art Research and Development center will focus on the
development of science-based, affordable nutrition products for the country and
enable the expansion of Abbott's nutrition product portfolio. The facility will
extend to over 13.000sq feet and house a range of integrated capabilities
including product development and analytical laboratories as well as a
dedicated laboratory for analyzing flavor, sensory elements and packaging. The
analytical lab will be equipped with technology for a broad spectrum of
nutritional analysis ranging from micronutrient to microbiological testing.
Abbott selected Syngene - a subsidiary of Biocon Group, the largest
biotech company in India - to provide a science-based research and innovation
team to work closely with Abbott researchers. More than 50 researchers and
scientists will be based at the Abbott Nutrition Research and Development
Center in India at Biocon Park in Bangalore.
The new Research and Development center will focus on the development of
nutrition products for maternal and child nutrition and diabetes care. The
center will tap into local expertise to focus on product design, development
and delivery specifically for the Indian consumer market. Among the products
being developed for the Indian market are meal complements for diabetics and
pre-diabetics. In addition, the center will address local taste and texture
preferences with new flavors and formulations.
Speaking at the inauguration, Mr. John Landgraf, Executive Vice
President, Global Nutrition, Abbott, said, "Abbott's scientific heritage has
driven the growth of our company, which has been in India for over 100 years.
This new Research and Development center in Bangalore will play a pivotal role
in getting us even closer to the Indian market and addressing the nutritional
requirements of the Indian consumer."
"India is a priority market for investment, growth and
innovation," said Mr. Robert H. Miller, Ph.D., Divisional Vice President,
Global Research and Development and Scientific Affairs for Abbott Nutrition.
"Our strategic collaboration with Syngene will accelerate the design,
development and delivery of science-based, affordable nutrition products in
India, for India."
The nutrition market in India is relatively new and growing steadily. In
addition to the undernutrition and diabetes issues facing India, a rapidly
expanding middle class and aging population are driving increased demand in the
country for high-quality, affordable nutrition products.
"It's a landmark day for Abbott Nutrition and Syngene, as they
shape their common vision of innovating towards a healthier India through
affordable nutrition products," said Ms. Kiran Mazumdar Shaw, Chairman and
Managing Director, Biocon Group. "The combined market insights and
nutrition science expertise of our two organizations will enable us to address
the healthcare and nutritional challenges of an emerging economy like India
across a diverse range of diseases that straddle both infectious and chronic
maladies," she added.
Commenting on the collaboration, Mr. Peter Bains, Director, Syngene
International Limited, said, "We are delighted that Syngene's discovery
scientists and development capabilities will be supporting Abbott Nutrition in
this important strategic initiative in India."
About Abbott
Abbott is a global, broad-based health care company devoted to the discovery,
development, manufacture and marketing of pharmaceuticals and medical products,
including nutritionals, devices and diagnostics. The company employs
approximately 91,000 people and markets its products in more than 130 countries.
Abbott currently employs more than 12,000 people throughout India.
About Abbott
Nutrition
For more than 85 years, Abbott Nutrition has been developing and
marketing science based pediatric and adult nutritional products to support the
growth, health and well-being of people of all ages. Abbott offers a variety of
nutritional products in India including PediaSure(R) (complete, balanced
nutrition for children), Similac(R) (infant milk formula for infants and
children), Mama's Best(R) (nutritional supplement for pregnant and
breastfeeding mothers), Ensure(R) (adult nutritionals), Glucerna(R) (nutrition
for people with diabetes) and Prosur(R) (nutrition for people with cancer).
About Biocon
Limited
Biocon Limited (BSE code: 532523, NSE Id: BIOCON, ISIN Id: INE376G01013)
is India's premier biopharma enterprise focused on innovation to deliver
affordable health care solutions to patients, partners and health care systems
across the globe. Established in 1978 by Ms. Kiran Mazumdar-Shaw, Biocon is committed
to reduce therapy costs of chronic diseases like diabetes, cancer and
autoimmune diseases to provide access to affordable treatment to patients
globally. Biocon's key innovations include the world's first Pichia-based
recombinant human Insulin, INSUGEN(R), insulin analog Glargine, BASALOG(R) and
India's first indigenously produced monoclonal antibody, BioMAb-EGFR(R), for
head and neck cancer. INSUPen(R) is a next-generation affordable insulin
delivery device introduced in India. With a risk-balanced business model
comprising small molecules, novel molecules, biosimilars, branded formulations
and research services, Biocon has evolved into an emerging global enterprise
serving its partners and customers in over 70 countries.
About Syngene
International Limited
Syngene is India's leading contract research organization offering
integrated drug discovery and development services with capabilities in
medicinal chemistry, biology, in vivo pharmacology, toxicology, custom
synthesis, process Research and Development, and formulation development for
small and large molecules. Syngene has an expert team of over 1,500 scientists
and 1 million sq. ft. of built-up laboratories equipped with state-of-the-art
infrastructure to support the Research and Development programs of global
pharma, biotech and nutrition companies.
BIOCON
ANNOUNCES STRONG GROWTH MOMENTUM ACROSS BUSINESS VERTICALS
April 27, 2012
Strong growth momentum across business verticals drives Biocon's 16% YoY
increase in revenues in FY12
Board recommends dividend of Rs. 5/share (100%)
Revenues at Rs 21480.000 Millions; EBITDA at Rs 5790.000 Millions; PAT
at Rs 3380.000 Millions Commenting on the results, Chairman and Managing
Director Kiran Mazumdar-Shaw stated, "I am pleased with the overall
performance that we have delivered in FY12. Group Sales have risen by 16% and
PAT was sustained at previous year levels despite lower net licensing income.
We have delivered particularly strong growth in our Research Services and
Branded Formulations business verticals. Our Balance Sheet remains robust and
our cash position is strong. The global economic outlook remains uncertain.
However, we are confident that we will make significant progress across all our
businesses."
Highlights:
- Full-year FY12 financials reflect strong performance by:
- Branded Formulations: 39% YoY growth, driven by chronic therapies.
- Research Services: 29% YoY, growth driven by new contracts and expansions in
existing contracts.
- EBITDA and PAT margins at 27% and 16% respectively.
- Biosimilar Trastuzumab (Herceptin, Mylan alliance) commences Phase III trials
in India.
- Inauguration of Biocon Research Center, a state-of-the-art integrated
research and development hub in Bangalore.
- Amicable conclusion of insulin commercialization deal with Pfizer.
- Mary Harney, former Deputy Prime Minister of Ireland joins the Board of
Biocon Limited.
Business
Performance and Outlook (Vertical-wise)
Small Molecules
and Biosimilars
The base business has seen steady growth over the last fiscal despite
pricing pressure. The current portfolio has been strengthened by the
introduction of Fidaxomicin supplies to Optimer Pharma.
The Biosimilar MAbs portfolio partnered with Mylan continues to make
steady progress. Biosimilar Trastuzumab (Herceptin), aimed at India and the
Emerging Markets, has entered multi-centric Phase III Clinical Trials in India.
Inauguration of
Biocon Research Centre (BRC):
Biocon unveiled its state-of-the art, integrated Research and Development
Centre on April 5, 2012. Expressing his delight, Nobel laureate Prof. Kurt
Wuthrich who inaugurated the facility said, "I am quite enthralled with
the Biocon Research Centre's capability which is at par with international
standards. I will keenly watch the outcome of innovation from this centre as I
see a lot of promise in the scientific talent here. I extend my best wishes to
Biocon".
Branded
Formulations
The Indian pharmaceutical market grew at 15% YoY (AIOCD, MAT Feb 2012).
Reflecting the accelerated growth and growing clout of chronic therapies in the
market, our branded formulations division grew 39% YoY in FY12.
Novel Molecules
Biocon continues to advance its novel portfolio, including the Anti-CD20
MAb program.
Itolizumab: Itolizumab, the
first indigenously developed novel monoclonal antibody, completed a Phase III
study for the treatment of Psoriasis in Indian patients in December 2011. The
52-week study met its primary endpoint and multiple secondary end points. The
full clinical study report and the regulatory submission package is currently
being prepared for submission to the authorities. Itolizumab has also shown
promising preliminary results in the treatment of Rheumatoid Arthritis (RA) and
Multiple Sclerosis (MS).
Peptide Hybrid: A global phase 1
study under the US IND filed by our partner, Amylin, is ongoing.
We continue to actively progress our partnering efforts for both the
leading Research and Development assets - Itolizumab and IN-105.
Induction of new
Board member
Biocon announced the induction of former Deputy Prime Minister of
Ireland, Mrs. Mary Harney as an additional non-executive Board member of Biocon
Limited. Mary Harney (born 11 March 1953) served as Tanaiste (Deputy Prime
Minister) of the Irish Republic from 1997-2006. She also held the position of
Minister for Enterprise, Trade and Employment from 1997-2004, and as Minister
for Health and Children from 2004 to 2011. She was leader of the Progressive
Democrats party between 1993-2006 and again from 2007-08. During her
illustrious political career, she initiated far reaching health care reforms
and played a key role in positioning Ireland as a key IT hub in Europe. Mrs.
Harney was also Ireland's representative to the European Council of Ministers
for the Software Patents Directive.
Research Services
This fiscal saw strong continuing momentum with recent investments in
chemistry, biology and biologics services coming into fruition. In FY12,
Syngene and Clinigene together grew revenues by 29% YoY on the back of strong
expansion from existing customers and a steady flow of new customer contracts.
Moving up the value chain with differential models and more integrated service
offerings has contributed to improved profitability with EBITDA margin firming
to 33% in FY12
During the year, Syngene International Limited acquired 100% of the
shareholding of Clinigene International Limited from Biocon Limited to ensure
seamless operational integration of the combined research service offerings.
Commenting on the performance and the recent developments Peter Bains,
Director, Syngene International, said, "2012 has been one of the strongest
years of delivery for our Research Services. Our strategy has been to invest in
strengthening our scientific team and capability platforms in discovery and
development to allow us to build stronger, more integrated and value creating
collaborations to support our customers".
About Biocon
Biocon Limited (BSE code: 532523, NSE Id: BIOCON, ISIN Id: INE376G01013)
is India's premier biotechnology company with a strategic focus on
biopharmaceuticals and research services. Established in 1978 by Dr. Kiran
Mazumdar-Shaw, the Group is an integrated, innovation-driven healthcare
enterprise with offerings that traverse the entire drug development value
chain. Balancing its novel molecule research pipeline with a diversified
product portfolio, Biocon delivers affordable solutions to partners and
customers in over 70 countries across the globe. Many of these products have USFDA
and EMA acceptance. Stellar products from Biocon's stable include the world's
first Pichia-based recombinant human Insulin, INSUGEN(R) and glargine,
BASALOG(R) coupled with a state of the art insulin pen device, INSUPen(R) and
India's first indigenously produced monoclonal antibody BioMAb-EGFR(R).
Disclaimer Certain statements in this release concerning our future
growth prospects are forward-looking statements, which are subject to a number
of risks, uncertainties and assumptions that could cause actual results to
differ materially from those contemplated in such forward-looking statements.
Important factors that could cause actual results to differ materially from our
expectations include, amongst others general economic and business conditions
in India, our ability to successfully implement our strategy, our research and
development efforts, our growth and expansion plans and technological changes,
changes in the value of the Rupee and other currency changes, changes in the
Indian and international interest rates, change in laws and regulations that
apply to the Indian and global biotechnology and pharmaceuticals industries,
increasing competition in and the conditions of the Indian biotechnology and
pharmaceuticals industries, changes in political conditions in India and
changes in the foreign exchange control regulations in India. Neither our
company, our directors, nor any of our affiliates, have any obligation to
update or otherwise revise any statements reflecting circumstances arising
after this date or to reflect the occurrence of underlying events, even if the
underlying assumptions do not come to fruition.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on Corporate
Governance to identify management and governance. These factors often have been
predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 55.85 |
|
|
1 |
Rs. 87.93 |
|
Euro |
1 |
Rs. 70.88 |
INFORMATION DETAILS
|
Information Gathered
by : |
-- |
|
|
|
|
Report Prepared
by : |
DPT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
9 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
9 |
|
--CREDIT LINES |
1~10 |
8 |
|
--MARGINS |
-5~5 |
--- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
Yes |
|
--LITIGATION |
YES/NO |
No |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
No |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
No |
|
--EXPORT ACTIVITIES |
YES/NO |
Yes |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
Yes |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
74 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
- |
NB |
New Business |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.