Biogen Idec (NASDAQ: BIIB) today announced that the firm will acquire 100% of Dompé's shares for its joint ventures in Italy and Switzerland. This integration is part of Biogen Idec's and Dompé Group's broader strategy of focusing on their respective core businesses. Under the terms of the agreement, the joint ventures will become affiliates of Biogen Idec's 100%, which will then have a direct commercial presence in 29 countries. The new affiliates will take the name of Biogen Idec Italia and Biogen Idec Switzerland respectively. The parties have also agreed on the assignment of some outstanding receivables by the Italian joint venture. No other financial terms remain known.
“We thank the Dompé group, which has been an exemplary partner for almost 15 years. This collaboration has enabled us to achieve significant results and solidify Biogen Idec's position as a leader in research and development and in multiple sclerosis treatments in Italy and Switzerland,” said Francesco Granata, Executive Vice President of Biogen Idec's Global Commercial Operations division. “To maintain our leading position in an increasingly complex industry we need to focus more on operational efficiency and the use of our resources. Enriching Biogen Idec's affiliate network with joint ventures in Italy and Switzerland will be a crucial element in achieving this goal”.
Dompé will maintain its role as a fully integrated pharmaceutical and technology company, covering the entire value chain, from research and development through manufacturing and commercial operations in the primary care, specialty care and rare disease business area.
"The collaboration with Biogen Idec has been fruitful and beneficial for both companies," said Eugenio Aringhieri, CEO of Dompé Group. “We believe that in an industry characterized by constant change, the need to develop innovative treatment solutions to address unmet treatment needs is essential. This agreement with Biogen Idec will allow us to further focus on our core competencies as a research-based company and to fully dedicate ourselves to the development of our proprietary product line, currently focused on rare diseases.”
The collaboration in the form of a joint venture between the two companies began in 1997 with Biogen Dompé in Italy and Switzerland. Initially the joint ventures were responsible for the commercialization of AVONEX®, then their business expanded to include commercial, distribution and service rights for TYSABRI® following the approval of the therapy in each of the respective markets.
