GSK to sell its Verona research operations to Aptuit
This article was originally published in Scrip
In a deal that will save around 500 jobs at a facility made surplus to requirements by cuts in R&D, GlaxoSmithKline has finalised an agreement to sell the operations of its Medicines Research Centre in Verona, Italy, to the US-based drug development company Aptuit.
No financial details were released on the agreement, which took effect on 1 July and will see the 500 or so staff at the Verona centre transfer from GSK to Aptuit. The Italian operations were hit by GSK's decision earlier this year to cease discovery research in selected neuroscience areas such as pain, anxiety and depression.
Aptuit described the arrangement with GSK as "an example of the developing new model of outsourced R&D collaborations". The US company not only gains the scientific knowledge and expertise accumulated at the Verona centre, boosting its global network of development services, but will also supply GSK with R&D services from the Italian facilities.
In February, GSK said it was tightening its R&D focus as the company expanded its restructuring programme to deliver a further £500 million in pre-tax savings by 2012 (scripnews.com, 5 February 2010).
Depression, anxiety and pain were among the most expensive and highest-risk areas for research as a product's potential often did not emerge until the late stages of development, noted GSK's chief executive officer Andrew Witty at the time.
According to Tim Tyson, chairman and chief executive officer of Aptuit, the Verona site has a "world-class" reputation in the neurosciences field as well as previous experience in the cardiovascular and infectious disease categories. He put the deal with GSK firmly in the context of the trend towards strategic, rather than just tactical, partnerships in the outsourcing of R&D.
A prime example of this trend was the 10-year, $1.6 billion drug development services contract signed by Lilly and the contract research organisation Covance in August 2008. Under that agreement, Covance acquired Lilly's early drug development campus in Greenfield, Indiana, while taking on responsibility for the pharma giant's toxicology, in vivo pharmacology, quality control laboratory and imaging services (scripnews.com, 07 August 2008).
The staff transfer in Verona "will help maintain the life sciences research and talent pool in Italy", the two companies stated. "In addition to becoming an important member of GSK's contract research organisation network, acquisition of the operations will also allow Aptuit to provide integrated development services to its global customers."
The Medicines Research Centre will expand Aptuit's global footprint to 19 locations while enhancing its service capabilities in "high-value and strategically important" therapeutic areas, the company added. Specifically, the centre offers expertise in drug discovery, lead optimisation, development and manufacturing of active pharmaceutical ingredients, and both preclinical and clinical drug development.