Page 21 - bne magazine March 2017 issue

bne March 2017 Companies & Markets I 21
covered 15 years ago by Richter scientists and is the first drug to effectively treat the ‘negative symptoms’ of people suffer- ing from schizophrenia and bipolar disorder. While previous antipsychotics could treat the so-called ‘positive symptoms’ of these disorders, such as hallucinations, delusions and move- ment disorders, Cariprazine is the first drug that has proved to be effective in treating ‘negative symptoms’ like apathy and social withdrawal.
Researching original drug molecules has played a key role
in Richter’s strategy since its founding in 1901. In the 1970s, the company’s first global success was Cavinton, an original drug that improves circulation within the brain. In the 1980s, Richter developed three more original drugs, including an antihypertensive drug, a hepatoprotective – which has a protective effect on liver cells – and a muscle relaxant. In 1996, Richter also discovered Curiosin, currently sold as a gel that speeds up the healing of skin lesions.
While Richter’s original research activity focused on disorders of the central nervous system, its Swiss subsidiary PregLem
– acquired in 2010 – carries out original R&D work concentrat- ing on gynaecological therapy. Esmya, the leading molecule developed by the subsidiary, treats the symptoms of uterine fibroids, the most common benign tumours affecting 20-25% of women. It was launched in Europe in 2012, and is now sold in 33 countries worldwide.
This year Richter will continue to carry out original research and biosimilar product development. “Several of our projects are in preclinical and early clinical phases [and] these focus on the treatment of obesity, cognitive disorder and autism,” Zsuzsa Beke, head of public relations, tells bne IntelliNews.
Richter’s business is expected to remain strong in 2017, but its performance is highly dependent on the performance and authorizations of the company’s two main drugs, Marton Medveczky, an analyst at the Budapest brokerage Equilor, tells bne. “Cariprazine might be launched in Europe in 2018 as the earliest, while Esmya might enter the American market next year,” Medveczky predicts.
Richter’s reliance on foreign markets is plain to see in
the figures. Currently present in almost 40 countries, it makes more than 90% of revenues in foreign markets, with just a 5.4% market share at home, making it the third biggest
“Our company is proud of giving the opportunity for talented people to carry out their activities in Hungary, thus contributing to the economic development of the country”
player. Having booked €305mn in sales from Russia and €60.4mn from the US in 2016, the company’s 2017 results will be highly dependent on the performance of the Russian currency, as well as the outcome of US President Donald Trump’s negotiations with pharma companies on lowering drug prices. Richter expects the Commonwealth of Inde- pendent States region – including Russia – to remain its key market, while also further expanding into new markets such as China and Latin America. CEO Erik Bogsch has said that
www.bne.eu