Wockhardt to hive off innovative R&D business
Wockhardt planning to spin off its innovative R and D business into a separate co. The move is being contemplated to seek funding support for innovative R and D.
By Writankar Mukherjee, TNN |
KOLKATA: Pharma major Wockhardt is planning to spin off its innovative R&D business into a separate company. The move is being contemplated to seek funding support for innovative R&D and de-risk the generics and speciality pharma business from any kind of research downside.
With this, Wockhardt will intensify its new drug research with plans to commercialise the first blockbuster drug by 2011, sources said. The company, which has a focus to develop anti-infective new drugs, currently has a pipeline of two drugs in clinical trials. It expects to take two more drugs into human trials over the next 12-18 months.
“Wockhardt is, currently, examining options on the best model to focus on new drug discovery and de-risk the generic business. It makes sense to demerge the innovative R&D unit into a separate company since it requires a separate business strategy. The company will soon take a final decision,” sources said.
When contacted, the Wockhardt spokesperson said: “Wockhardt does not respond to speculations.” Wockhardt’s move comes close on the heels of similar announcements by other Indian pharma majors. In an attempt to de-risk their core business and attract funding, players such as Ranbaxy, Nicholas Piramal, Sun Pharma and Glenmark, too, have decided to spin off their innovative research units into separate companies.
The company’s innovative research team has developed a number of lead molecules in the anti-infective field.
The two drugs in clinical trials include one broad-spectrum antibiotic (code-named WCK 771) which has proven effective in treating diverse staphylococcal infections and another drug (WCK 1152) to treat respiratory tract infection and hospital-acquired infection. While WCK 771 is in phase II, Wockhardt has set a target to commercialise one of its lead molecules by 2011.
With this, Wockhardt will intensify its new drug research with plans to commercialise the first blockbuster drug by 2011, sources said. The company, which has a focus to develop anti-infective new drugs, currently has a pipeline of two drugs in clinical trials. It expects to take two more drugs into human trials over the next 12-18 months.
“Wockhardt is, currently, examining options on the best model to focus on new drug discovery and de-risk the generic business. It makes sense to demerge the innovative R&D unit into a separate company since it requires a separate business strategy. The company will soon take a final decision,” sources said.
When contacted, the Wockhardt spokesperson said: “Wockhardt does not respond to speculations.” Wockhardt’s move comes close on the heels of similar announcements by other Indian pharma majors. In an attempt to de-risk their core business and attract funding, players such as Ranbaxy, Nicholas Piramal, Sun Pharma and Glenmark, too, have decided to spin off their innovative research units into separate companies.
The company’s innovative research team has developed a number of lead molecules in the anti-infective field.
The two drugs in clinical trials include one broad-spectrum antibiotic (code-named WCK 771) which has proven effective in treating diverse staphylococcal infections and another drug (WCK 1152) to treat respiratory tract infection and hospital-acquired infection. While WCK 771 is in phase II, Wockhardt has set a target to commercialise one of its lead molecules by 2011.
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