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Press Clipping / Jan 17, 2022

Pharmaceutical services to grow for another year

C&EN, 17 January 2022

Solid growth and sizable investments will continue in the pharmaceutical services sector as contract manufacturers of active pharmaceutical ingredients (APIs) and drug intermediates move into a third year of navigating the unpredictable impact of the pandemic.

“Aside from what you can’t predict, it’s a very good time to be in contract services,” says Wayne Weiner, who heads the consulting firm PharmaTech Solutions. “It doesn’t seem the funding will dry up for biotechs, which are really driving a lot of the innovation.” And biotech innovators without production assets are increasingly bringing drug candidates to market themselves rather than licensing to larger drug companies, thus generating longer-term contracts with service firms, Weiner says.

But James Bruno, president of another consulting firm, Chemical and Pharmaceutical Solutions, sees a red flag. “I think we are going to be short on capacity all year,” he says. “Everybody seems to be booked.”

 

Managers at service firms agree that capacity constraint is a concern, and they point to continued investment in new capacity in response. Hovione, CordenPharma, and Pharmteco are among the companies with plans to add small-molecule API capacity.

Hovione is expanding on both sides of the Atlantic; the Portuguese firm is 2 years into a 3-year program that is expected to increase overall capacity by 25%. CordenPharma will expand clinical-scale peptide production in Frankfurt, Germany, and solid-dose drug output in Plankstadt, Germany. Pharmteco is expanding API production in South Korea and is adding capacity at a newly acquired cell and gene therapy site in France.

 

While service providers are likely to continue broadening their offerings beyond small-molecule API production in 2022, services for the emerging cell and gene therapy industry will develop on a parallel track and attract only a handful of the largest traditional firms. Cell and gene therapy is getting a lot of attention, Bruno says, but most of the investment in the drug services sector will continue to be in small-molecule production.

 

Read the article at CEN.org

 

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In an interview with Executiva, a portuguese media outlet focused on women´s leadership, Diane Villax, co-founder and long-standing leader of Hovione, reflects on her journey and the company’s development over more than six decades. Diane Villax’s career began at a time when few women worked outside the home. At 19, she joined a trading company as a foreign languages correspondent, where she developed essential business skills — including commercial correspondence, banking and export procedures — that later proved instrumental in helping her husband, Ivan Villax, establish Hovione in 1959. From its earliest days operating in the family home in Lisbon, Hovione adopted an international outlook. The company’s first major customers were in Japan, setting demanding quality standards that helped shape its long-term position in global markets. Over the following decades, Hovione expanded its footprint with the construction of its first manufacturing site in Loures (1969), followed by expansion to Macau (1986), the United States (New Jersey, early 2000s) and Ireland (Cork). The company grew into a global organization with more than 2,500 employees — including over 300 scientists — and a reputation as a preferred supplier to leading pharmaceutical companies worldwide. Throughout the interview, Diane highlights the values that have guided the company’s development: a commitment to excellence, a strong work ethic, and a focus on quality and long-term relationships. Although she did not have formal business training, she learned “on the job” and brought discipline, precision and structure to her role — particularly in the company’s early financial and administrative leadership. Now in her nineties and an active member of Hovione’s Board of Directors, Diane Villax remains engaged with the company’s evolution and governance, reflecting a continued commitment to its long-term development. Her story reflects entrepreneurial drive, resilience and long-term leadership — and offers insight into the values that have shaped Hovione’s trajectory for more than six decades. Read the full interview at Executiva.pt (in portuguese).    

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