Healthcare Global - September 2015

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The Most Progressive Health Tech Innovations Driving Patient Care

Kaleida Health Oishei Children’s Hospital Project

T O P 1 0 MOST

FUNDED STARTUP S

EDITOR’S COMMENT

Turning vision into reality T H I S M O N T H I S A L L about leadership at

Healthcare Global. Our cover features the new John R. Oishei Children’s Hospital—a state-of-the-art, US$270 million project that is set to open its doors to western New York, U.S. in late 2017. Operating under Kaleida Health, the hospital is set to become the regional referral center for women and children.

In a world that operates across a digital platform and technology becomes the lifeblood of innovation and progress, it is important for today’s pharma and medical industries to evolve to deliver more streamlined services and optimum patient care.

In this issue, we discuss how health tech solutions are making personalized treatment plans possible, and improving patient care on an individual level.

Finally, as funding from venture capitalists continues to surge, our Top 10 profiles the startups who were invested in the most since last June and why they’re set to change the industry.

Enjoy this issue and we wish you the best of health!

Stephanie C. Ocano Senior Editor stephanie.ocano@healthcareglobal.com

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CONTENTS

Features

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TECHNOLOGY The Most Progressive Health Tech Innovations Driving Patient Care HOSPITALS The Businessman Using Philanthropy To Stand Up Against Cancer

14 TOP 10 Most Funded Startups

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aleida Health - Oishei K Children’s Hospital Project

Company Profiles USA

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30 Kaleida Health Oishei Children’s Hospital Project

Dentsply

AUSTRALIA 40 PPC Moulding

BRAZIL 50 Dentsply

AMERICA LATINA 60 Droguería INTI 72 AMID 78 Aspen Labs

40 PPC Moulding

60 Droguería INTI

72 AMID

TECHNOLOGY

The Most Progressive

Health Tech Innovations Driving Patient Care Health tech solutions make personalized treatment plans possible, improving patient care on an individual level.

Written by: Stephanie C. Ocano

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TECHNOLOGY IN a world that operates across a digital platform and technology becomes the lifeblood of innovation and progress, it is important for today’s pharma and medical industries to evolve to deliver more streamlined services and optimum patient care.

Recent technological advancements are allowing medical firms to focus on less expensive and more efficient healthcare options for their patients in an effort to save time and money on minimallyinvasive procedures. Hospitals and corporate firms are also actively seeking ways to alleviate the financial stress of costly healthcare.

According to Mark Laret, CEO of the Medical Center at the University of California, San Francisco (UCSF), “Consumers are more responsible for managing their own healthcare expenses, so demand will be higher than ever for greater transparency about quality, safety and cost. The healthcare industry needs to be more aggressive in streamlining processes, increasing collaboration and consistently delivering higher value.”

UCSF Medical Center currently provides patients with 8

September 2015

‘Recent technological advancements are allowing medical firms to focus on less expensive and more efficient healthcare options for their patients’ evidence-based initiatives, meaning physicians have a specific reason to test patients, to increase satisfaction while reducing the cost for possible unnecessary labs and testing. Since patients are paying for their own costs, it is important that corporate firms focus on collaborating with patients to ensure the most

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cost-effective treatments available.

With this in mind, here are five examples of the most recent and innovative technological advancements for the future of the healthcare market: 3D printing The introduction of 3D printing

has proven to be a gamechanger in terms of technological advancements in healthcare. The process, involving a machine rapidly layering materials to make an object from a digital model, has made inroads in industries from aerospace to consumer electronics.

Medical professionals are 9

TECHNOLOGY increasingly exploring 3D printing because it cuts costs and improves healthcare.

“Customized orthopedic implants, for example, perform much better, and their use dramatically reduces surgery times,” said Jennifer Taylor, pharmaceutical industry analyst at Visiongain, in an interview with InformationWeek. “In addition, 3D-printed medical models can reduce surgery times. Surgery costs US$100 per minute. As well as resulting in substantial costsavings, the use of 3D-printed medical implants reduces the risks associated with anesthesia during long surgeries.”

3D printing is being used to create everything from prosthetics to hearing aids. Some startups, such as BioBots, are tackling bioprinting to recreate the 3D structure of a tissue using a fabrication technique. The startup is committed to building a low cost bioprinter that is accessible to a large number of scientists, physicians and biologists to achieve the recreation of an artificial organ.

Align Technology currently prints 650,000 pairs of Invisilign teeth

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September 2015

braces per day with the use of a 3D printer and research company Organovo has begun printing liver tissue to test drug toxicity.

Hybrid operating rooms With the rise of advanced technology, the integration of systems needs to be updated or replaced to improve their performance or build upon the technology’s use.

A hybrid operation room is a new innovation where a traditional OR is outfitted with advanced medical technology to improve the care delivered to patients and enhances the skill sets of medical practitioners when it comes to administering treatment. Technologies used in hybrid operating rooms have typically helped reduce trauma, scarring, spurred faster rehabilitation and has helped decrease hospital stays.

The technologies used at the Lakeland Regional Medical Center in Florida that helped improve a patient’s experience at a hospital included advanced imaging technologies that allowed for real-time intra-operative image guidance, as well as tools to help perform high-risk minimally invasive cardiac procedures.

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‘Medical professionals are increasingly exploring 3D printing because it cuts costs and improves healthcare’

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TECHNOLOGY Cloud-based provider relationship management software Communication may seem like an easy technology to develop for the healthcare industry, but it has been nothing but problematic for decades costing over $250 billion to process over 30 billion transactions annually.

From referrals, progress updates and insurance authorizations, these types of communications result in huge amounts of money and time being wasted and a liability

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to every healthcare provider.

As many as 50 percent of referrals are not received by the specialty care provider causing patients to miss treatment and healthcare providers to lose money. Companies like referralMD provide doctors with a robust referral management platform to communicate between specialties.

Genomic-based tests Genomic-based testing allows physicians to study the interaction between cells and certain gene groups,

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as well as isolate gene groups to better understand their role within a specific cancer. By analyzing the genes within a tumor, scientists and doctors are able to predict how the tumor will react to certain treatments, eliminating the emotional, financial and physical cost of unnecessarily aggressive therapy.

Not all breast cancer cases require chemotherapy for treatment, in fact, many patients can benefit from hormonal therapy with the help of genomic-based tests. With genomicbased tests, analyzing tumors in early-stage colorectal cancer can allow an oncologist to predict whether the cancer will reoccur within three years.

With more accurate testing, individuals can have confidence in knowing that their treatment is necessary.

Wearable data-storing devices Fitness watches are dominating the healthcare market with their ability to track workouts, caloric loss or gain, sleep cycles and more. Engineers for companies such as Google, Apple and Samsung are working hard to develop competing data-storing devices such as watches, armbands and eyewear to improve health tracking.

“The next big thing in personal

medical technology will be creating a next generation of truly useful devices and sensors that can send data to care providers,” said Michael Blum, MD, chief medical information officer at UCSF Medical Center. “The only way this technology is going to revolutionize health is if it actually tells doctors what they really need to know about their patients when they need to know it.”

As wearable technology continues to improve to better meet the needs of its users, healthcare providers continue to hope that its use will impact both the experience of patients and practitioners to better receive and administer care.

Dr. Rafael Grossmann, the first surgeon to use Google Glass while performing a surgery, believes that Google Glass and wearable technology of a similar nature will help improve the way healthcare providers interact with patients and a patient’s relatives, increasing the satisfaction of patients and making doctors and other providers more effective at doing their job because of the added level of communication between parties.

The healthcare industry is taking advantage of technological innovations to provide more convenient, agile and cost-effective patient care.

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H O S P I TA L S

Q&A WITH MICHAEL THE BUSINESSMAN US TO STAND UP AGAINST

L SUBA SING PHILANTHROPY ST CANCER

Written by: Cutter Slagle Edited by: Stephanie C. Ocano 15

H O S P I TA L S FOR YEARS, I did not put our Wigs for Kids program on our website because I felt uneasy about using our charity work in a business setting,” shared Michael Suba, the businessman whose philanthropy efforts have impacted the lives of cancer patients across Canada and inspired companies to follow suit.

Suba has been president of Continental Hair in Toronto, Ontario for over 20 years, having inherited the company from his parents.

Never intending to go into the family business, when Suba was diagnosed with Hodgkin’s disease in February of 1990, he realized the impact his parent’s business was making on the lives of those living with cancer.

“By getting to know [clients] and hearing about their personal struggles and concerns, I started to understand the impact of the service my family provided,” said Suba. “I learned that something as simple as having a beautiful wig to hide hair loss could give these women back some of their confidence and normalcy, as well as diminish some of the fears of chemotherapy.”

Thousands of wigs later and now partnered with the Canadian Cancer 16

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The Wigs for Kids program has bloss alopecia, leukemia and any cancer-re Society, the Wigs for Kids program has blossomed into a medical support service for children living with alopecia, leukemia and any cancerrelated disease.

Q. What is the vision behind Wigs for Kids?

Medical wigs, for whatever the condition and for whoever is wearing them, are basically about privacy and confidence. And that’s what we do— give patients the privacy they need and deserve to handle what they’re

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somed into a medical support service for children living with elated disease. going through.

Almost 20 years ago, I got a phone call from someone at the Canadian Cancer Society asking about what they could do with all of the hair donations they were receiving.

I suggested that we use the hair to make small cap wigs for children and then give them away. That’s really how it started.

There are lots of low-cost [wig] alternatives for adults, but not for kids. We now give away almost a wig a week to a child who is undergoing

chemotherapy or suffering from alopecia. The program really helps the kids and the parents achieve a level of normalcy.

Q. Since the program’s inception, how many wigs have you been able to donate?

On the low end, we estimate that we’ve given away about 1,000 wigs over the past two decades. We never really counted, because if a child needed a wig, we made them one. Some kids who suffer from alopecia or other 17

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We were the first private wig salon to be in a public hospital in Canada medical conditions have been coming to us for over 10 years, getting a new wig every other year.

Q. In your opinion, how important is hair to both a child and an adult?

Hair is very important to a person’s sense of self, to their own self-image.

You can transmit a lot about yourself to the world by how you do your hair.

Whether you are feeling professional, sexy or rebellious, it’s all in the hair.

When you don’t have it, or enough of it, it hurts. You literally can’t “be yourself.”

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Q. How do you ensure the wigs you provide are safe for patients?

Over the years we have strived to build strong relationships and work with dermatologists and oncologists so that we can provide the best services and consults to our clients.

It’s important to learn as much as you can and to work as a team to understand the unique needs and limitations of certain medical conditions so that we can provide the best wig or hair system that will work with specific requirements and restrictions.

U S I N G P H I L A N T H R O P Y T O S TA N D U P A G A I N S T C A N C E R

For example, chemotherapy can create skin irritations; therefore, we know that our recommendations for someone undergoing chemotherapy will be different for someone experiencing genetic hair loss or alopecia.

We have a salon at Sunnybrook Hospital, and have been there for 17 years. We were the first private wig salon to be in a public hospital in Canada. We also have oncologists, dermatologists and surgeons at other hospitals who want to work with us because they trust us.

Q. How do you remain inspired in your day-to-day activities?

By working with organizations like the Canadian Alopecia Areata Foundation and by doing the work I

“We give patients the privacy they need and deserve to handle what they’re going through.”

— Michael Suba, President

do with the Wigs For Kids program, we have found that we are doing more than providing wigs: we are helping kids overcome bullying and to cope with their conditions. We are helping to make children feel less alienated by seeing so many others with their condition at our salon.

The goodwill and commitment to service that these organizations and parents see help validate what we do, as well as demonstrates what we stand for—commitment to clients and high quality products.

Q. How important is philanthropy to you? What can other business owners learn from it?

Philanthropy works for a business on several levels. But, basically, it does a body good to help others.

It really is a fantastic feeling to be on the receiving end of a parent’s gratitude for helping out their child who is suffering from cancer or hair loss.

We donated US$80,000 to the new breast cancer wing at Sunnybrook Hospital. I am proud when I walk through that hospital, knowing

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Peter and Emma Suba opened Continental Tress 50 years ago that we did not shirk away from an institution that saved my life, as well as my father’s and mother’s lives on several different occasions.

Any organization that is successful can and should offer some of its expertise to help those that need it. I do not believe that a business should get involved with philanthropy as a business/lead generator. I think that if you are not sincere in your 20

September 2015

philanthropy, it will backfire and hurt your bottom line. You should only get into philanthropy if you want to help others. Then, you get the double reward of not only helping out, but also solidifying your reputation.

Q. Are there additional healthcare efforts on the horizon for Continental?

These Trichological treatments that

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are produced by Cesare Ragazzi—an Italian company that has spent years researching hair and hair loss with some of Europe’s top researchers and research institutions. They have developed a line of products that cover most hair and hair loss conditions. They’ve been tested and proven effective in managing hair loss and most scalp problems.

I was first introduced to this

amazing company because of their CNC hair system, which is the very finest in the world. I am now very proud to be the first in Canada, as well as one of the first in North America, to carry their products.

Knowledge is power. The more we learn about anything, in this case how to effectively manage and slow down the hair loss process, the more the word will spread about it.

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TTOO P P 11 00

Top 10 Most Funded Startups Over the past year, venture capitalists have funded over US $64 billion in major tech companies, a handful of those directly correlating to health services The San Francisco-based analytics company Quid recently screened its proprietary database of companies that received at least US$5 million in venture capitalist money from June 2014 to June 2015 and identified 2,233 in a range of industries.

Investment in private technology Written by: Stephanie C. Ocano

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firms was noted to surge as this year saw a 25 percent increase from the last, and a 92 percent increase from two years ago.

The following ten are the most funded companies from the range of health industries. Additional data sourced from company websites and press releases.

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TOP 10

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Thorley Industries US $101 million

Thorley Industries LLC, doing business as 4moms, designs and develops baby products for customers in the United States and Canada. The company has introduced robotics technology to the industry with its innovative infant products. Founded in 2005, Thorley Industries is based in Pittsburgh, Pennsylvania.

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Alignment Healthcare US $125 million

Alignment Healthcare provides population health management services to health systems and provider groups in the United States. The company provides a framework for transformation by combining an advanced clinical model, IT, enablement systems, risk experience and capital. Alignment Healthcare serves hospitals, physician groups and health plans.

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Flatiron Health US $138 million

Flatiron Health, Inc. engages in building data pipelines and structured databases for oncology and healthcare markets. The company offers OncologyCloud, a Web-based business and clinical intelligence data platform that integrates and structures disparate information systems to produce a view of the patient population; provides analytics for business intelligence and allows cancer care providers and life sciences companies to track metrics related to cancer care. Flatiron Health has a strategic alliance with Varian Medical Systems.

Proteus US $172 million

Proteus Digital Health, Inc. is a digital medicines company that focuses on developing products, services and data systems based on integrating medicines with ingestible, wearable, mobile and cloud computing. The company’s technology allows patients to manage their health and collaborate with caregivers and clinicians. Proteus was founded in 2001 and is headquartered in Redwood City, California.

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Castlight Health US $181 million

Castlight Health, Inc. provides cloud-based software in the United States. The company’s software enables enterprises to understand and manage health care spending. Enterprise Healthcare Cloud transforms external and internal complex data into transparent and useful information. Castlight Health also provides communication and engagement, implementation, customer support and training services.

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EndoGastric Solutions US $222 million

EndoGastric Solutions, Inc. develops, markets and sells natural orifice surgical products and procedures in the field of gastroenterology.

The advantages of natural orifice surgery include shorter hospital stays, reduced patient discomfort, faster recovery, no visible scars and typically higher patient satisfaction scores. The company’s products—EsophyX and SerosaFuse Fasteners—are designed for reconstructive gastrointestinal procedures via transoral approach.

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Juno Therapeutics US $310 million

The biopharmaceutical company Juno Therapeutics, Inc. engages in developing cell-based cancer immunotherapies. Founded on the vision that the use of human T cells as therapeutics will drive one of the next important phases in medicine, the company develops its products based on its chimeric antigen receptor (CAR) and highaffinity T cell receptor (TCR) technologies. Juno Therapeutics has shown compelling evidence of tumor shrinkage in clinical trials using multiple cellbased product candidates to address refractory B-cell lymphomas and leukemias.

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Privia Health US $414 million

Privia Health, LLC offers physician practice management and related services. It builds and enables high-performance physician groups and clinically integrated provider networks using technology, team-based care and wellness programs to help doctors manage the health of their populations. The company was founded in 2007 and is based in Arlington, Virginia.

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TOP 10

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Nanthealth US $665 million

A transformational healthcare information technology company, Nanthealth provides cloud-based, intelligent clinical operating systems for physicians, patients, payers and researchers. The company’s solutions are advancing 28

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diagnostics to better identify and target specific disease characteristics; transforming clinical and operational delivery with real time actionable clinical data and promoting wellness.

A subsidiary of NantWorks, a company founded and led by Dr. Patrick Soon-Shiong, Nanthealth was founded in 2007 and is based in Culver City, California.

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Intarcia Therapeutics US $906 million

Intarcia Therapeutics, Inc. develops treatments to optimize therapeutic benefits and reduce adverse effects for chronic and life-threatening diseases.

The company also focuses on evaluating a series of human peptides for the treatment of obesity through its technology platform.

Intarcia’s lead product candidate, ITCA 650 (continuous subcutaneous delivery of

exenatide), is currently in phase 3 development for the treatment of type 2 diabetes.

Three phase 3 studies have been successfully completed, and one is ongoing. Intarcia expects to file for regulatory approval of ITCA 650 in the U.S. in 2016.

Intarcia Therapeutics has a strategic partnership with Quintiles, Inc. and Servier. The company was formerly known as BioMedicines, Inc. and changed its name to Intarcia Therapeutics, Inc. in September 2004. The company was incorporated in 1995 and is headquartered in Boston, Massachusetts.

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Kaleida Health/ John R. Oishei Children’s Hospital The New John R. Oishei Children’s Hospital: A beacon of excellence in children’s care

As the largest healthcare provider in Western New York, Kaleida Health is continuing to make patient care more effective and efficient by building a brand new children’s hospital on the Buffalo Niagara Medical Campus Written by: Stephanie C. Ocano

Produced by: Tom Venturo

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Interior Bridge

“Construction of the hospital remains on schedule, with doors set to open in late 2017” 32

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ith a mission to advance the health of the community, Kaleida Health’s expert, compassionate healthcare professionals are committed to providing the best possible outcomes and experience for more than one million sick or injured patients each year.

As the largest healthcare provider in Western New York, Kaleida Health serves the area’s eight counties through its hospitals – Buffalo General Medical Center/Gates Vascular Institute, DeGraff

SECTOR

Memorial Hospital, Millard Fillmore Suburban Hospital, and Women & Children’s Hospital of Buffalo – two long-term care facilities, more than 80 outpatient clinics and home health care through the Visiting Nursing Association of Western New York, Inc. For more than 120 years, Women & Children’s Hospital of Buffalo has been the regional center for comprehensive, specialized pediatric and women’s health services.

President, Women & Children’s Hospital of Buffalo, Vice President, Kaleida Health

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K A L E I D A H E A LT H / J O H N R . O I S H E I C H I L D R E N ’ S H O S P

Kids put pennies in concrete as part of a fundraiser for Stone’s Buddies, a program for chronically ill children

In an effort to streamline patient care, expand services and treat more patients in an ambulatory setting, Kaleida Health embarked on the journey of building the new John R. Oishei Children’s Hospital on the Buffalo Niagara Medical Campus.

Mickey Mariacher, Director of Construction Management, manages the day-to-day construction operations. As the contact person representing the new hospital for all matters with contractors and the architect, Mariacher discussed the hospital’s vision, the challenges of building in a weather-difficult region and the 34

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impact one hospital will have on Western New York and beyond.

The vision “In order to provide the best care, it was deemed necessary to build a completely new building,” Mariacher said as she watched a 200-foot crane lift a piece of steel during the interview. “The previous facility was an aging conglomeration of buildings that were assembled over the years, and as such, there were some convoluted hallways and difficulty navigating from one building to another. In this new building, we were able to get all of

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NICU Draft Render

the services that we had in the 600,000 square foot Women & Children’s Hospital of Buffalo to fit economically and efficiently into the new hospital’s 425,000 square feet.”

Discussions for a new hospital began back in 2012, and the design process took nearly two years. A historic $10 million donation from the John R. Oishei Foundation was announced at the new hospital’s groundbreaking ceremony in August 2014. In line with its mission to serve as a catalyst for change in the region, The John R. Oishei Foundation chose to become the lead supporter of the hospital to ensure families continued to have immediate access to specialized health services. Since then, the hospital has received nearly $50 million in funds.

Following the groundbreaking, the team for

“This hospital will benefit hundreds of thousands of people for many years to come” – Mickey Mariacher,

Director of Construction Management

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K A L E I D A H E A LT H / J O H N R . O I S H E I C H I L D R E N ’ S H O S P Turner Construction Company began the Building Information Modeling (BIM) process, which used a 3D software program to construct the building in an effort to avoid potential clashes and facilitates coordination between all disciplines before they step foot on the site. Construction of the hospital remains on schedule, with doors set to open in late 2017.

“Our vision for the new hospital is to be the innovator, the highest quality, highest value provider and partner, and the regional referral Jody Lomeo - President center for women and children’s health care,” said and CEO, Kaleida Health and Great Lakes Health Mariacher.

System of Western New The 12-floor, 183-bed, free-standing facility York

Phone: 716-362-9720 Fax: 716-875-4929

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will be adjacent to the University of Buffalo School of Medicine and will offer hands-on experience for medical students. An emergency room will be equipped with four trauma rooms. A neonatal intensive care unit will provide aroundthe-clock support for the sickest children, and dedicated labor and delivery rooms will be designed to offer the best care possible.

With overarching design elements intended to be “kid-friendly,” the hospital will encompass light and open spaces, greenery inside and outside the building, color-themed floors, and a “beacon of light” from the ground to the roof on one corner of the hospital that will be visible from miles away.

“We are the only children’s hospital in Western New York,” explained Mariacher. “We’re looking for [the hospital] to be a building that, through its design elements, offers comfort to you as you walk in with a sick child.”

along the way, but Mariacher is well prepared to handle these and see the project to the end through efficient coordination.

“Design takes several years, and construction takes several years, and it’s not uncommon during the construction process for new trends, innovations and equipment for operations to dictate the need for a change,” said Mariacher.

“Change while you’re in the middle of building is always a challenge, but it is something we are able to handle successfully.”

One of the challenges Mariacher and her team have faced is the harsh winter climate New York offers.

The winter of 2014 saw freezing temperatures well below 0 degrees, and this year’s winter is expected to be the same. In order to offset this, a temporary wrap is placed around the building that can retain heat throughout the interior, allowing construction to continue.

“We heat it to at least 40 degrees, which allows us to continue to work Overcoming challenges through the winter,” said Mariacher.

With a construction project of this “So, while we spend a little money magnitude, worth $270 million, there on heat and the wrap, we gain are bound to be some roadblocks everything back by being able to w w w. k a l e i d a h e a l t h . o r g / C h i l d re n s / o i s h e i /

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K A L E I D A H E A LT H / J O H N R . O I S H E I C H I L D R E N ’ S H O S P

Mickey Mariacher and CEO Jody Lomeo putting pennies in concrete that will be used in the foundation. This is part of a fundraiser for Stone’s Buddies, a program for chronically ill children at the Women & Children’s Hospital of Buffalo

work through those three or four months.”

Safety is also another concern that is always on the forefront of everyone’s minds during a construction build. Oishei Children’s Hospital is being built next to an existing hospital that is still in operation, which offers its own set of unique challenges—such as 38

September 2015

accessibility to an adjacent helipad.

“We had a lot of coordination between our crane operator and our pilot that mans the helicopter flights of sick patients to our helipad,” shared Mariacher. “Our tower crane is over 200 feet high, and the new hospital is only maybe 100 feet away from the existing hospital which is also 200 feet high. We spent about

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six months coordinating a protocol so that when a helicopter is approaching with a patient, we can get the crane operator to set his load down and move the boom out of the flight path.”

Daily toolbox talks, fire drills and pre-planning also go into offsetting any potential risks that might possibly occur.

Company Information INDUSTRY

Construction HEADQUARTERS

Signaling the future “When you have an opportunity to go from an ageing building that’s perhaps outlived its efficient life, and you step into a new colorful, glass, shiny building with lots of plants, liveliness and artwork, I think that improves everybody’s day,” shared Mariacher.

Mariacher knows the value of a children’s hospital. She understands the worry of a parent and the fear of a child that comes from being sick. That’s why she and the team at Kaleida Health have worked hard to create an inviting yet technologically advanced hospital that is “a special place” for those who need it most.

The John R. Oishei Children’s Hospital will attract the best and the brightest doctors, will support a growing community and will be a beacon of hope for women and children in Western New York and beyond.

“We want this to say, ‘Bring your children here; we can take care of them,’” said Mariacher. “This hospital will benefit hundreds of thousands of people for many years to come.”

1422 Euclid Avenue, Suite 1400 Buffalo, New York, USA FOUNDED

2012 EMPLOYEES

350 REVENUE

$270 M

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PPC Moulding Services (LJ Wallace Pty Ltd)

Pursuing Growth

Managing Director Grahame Aston discusses new technologies, a focus on people, and leading his team to success in the medical device subcontract industry Written by: Sasha Orman Produced by: Rob Benson

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P P C M O U L D I N G S E R V I C E S ( L J WA L L A C E P T Y LT D )

PPC MS Factory Floor

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he PPC Group acquired Moulding Services in 2007.

Then the company was small but successful. Today that success is exponential: PPC Moulding Services has grown from 18 to 250 employees, seeing year on year growth and potential ahead as it consolidates itself as a leading player in the medical device market.

Filling potential by finding a niche A critical element of PPC Moulding Services’ success in recent years has been its focus on an development in the medical device 42

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manufacturing. The prior industry knowledge of Managing Director Grahame Aston and the quick assembly of a strong management core has allowed PPC Moulding Services to push forward and rapidly improve its service in the sector.

“We’ve focused on things that aren’t easy to do—things that not everybody out there does—and we’ve been able to exceed the expectations of those challenges, identifying new technologies and new opportunities” says Aston. “We travel the world to ensure we are up to date with the latest technologies available in injection molding and

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PPC MS Clean Room

we’ve been able to keep up with the trends and go beyond them.”

These trends include everything from automation in manufacturing to new temperaturecontrolled techniques that allow PPC to work with more exotic materials, working closely with partners like Arburg in Germany for the latest machinery to realize its visions. “By looking at these new technologies,” says Aston, “we’ve been able to extend ourselves into new markets and using more exotic materials that actually see benefits for our own customers.”

A joining of quality and skill One major trait that sets PPC Moulding Services apart from the competition is its range of talent.

“We’ve been to assemble a tremendous range

“It gives our customers a lot of confidence that we’ve got a focus on quality… if the parts you’re making are going out with issues, you’re not helping yourself and you’re not helping your customers” – Grahame Aston, Managing Director

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P P C M O U L D I N G S E R V I C E S ( L J WA L L A C E P T Y LT D ) of skill sets in house,” says Aston, pointing out a strong depth of knowledge between the company’s executive team and workers who are skilled in everything from machine tool making to robotics.

The company also believes in exercising the wisdom to know when outside sources are required to ensure that customers receive the best work possible. “We’ve never walked away from a challenge

that a customer has presented us with—but we never claim to know something that we don’t,” Aston points out. “We have the ability to research and to partner with the right people that can easily help bring the skill sets that we may not have on board.”

PPC also has the certifications to back its commitment to quality, gaining ISO9001 and ISO13485 accreditation. “That’s given our

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COMPOUNDS, APN DELIVERING EXCEEDING EXPECTATIONS APN is a leading Australian manufacturer and distributor of Engineering Plastics, Styrenic, Polyolefin and PVC compounds.

Co-injected, soft touch Thermolast M elastomer onto Polypropylene.

APN has established global alliances with leading polymer manufacturers including Samsung SDI, DuPont Performance Polymers and Kraiburg TPE. This along with the versatility of Australia's leading custom PVC compounding facility offers manufacturers in the medical industry a market advantage.

Our excellent service and personalized approach is supported by a broad range of polymer compounds that comply with medical approvals including; USP IV, ISO10993, Drug Master File, BPA and phthalate free requirements. They also offer REACH and RoHS compliant materials.

APN is well positioned to meet the dynamics of an ever changing manufacturing market.

APN COMPOUNDING APN PLASTICS

Ph: +61 2 9756 6339 Fax: +61 2 9756 6345 Email: info@apncompounding.com Web: www.apncompounding.com Ph: +61 3 9768 2644 Fax: +61 3 9768 3120 Email: admin@apnplastics.com Web: www.apnplastics.com

P P C M O U L D I N G S E R V I C E S ( L J WA L L A C E P T Y LT D ) customers in the medical industry the confidence that we’ve got the right quality policies and procedures—that we understand the importance of traceability and that every product that goes out the door meets these specifications,” says Aston. “It gives our customers a lot of confidence that we’ve got a focus on quality. At the end of the day, if the parts you’re making are going out with issues, you’re not helping yourself and you’re not helping your customers.”

According to Aston, many PPC customers have acknowledged this commitment to quality with

consistent recognition as a top supplier. “It’s satisfying to get these awards and to be able to share them with our internal team knowing that what we’re doing in-house is actually reaching and benefitting our customers,” he says.

Focusing on people “You’re only as good as the last job that you do,” says Aston. “If you excel at that, then you get an opportunity on the next project when that arises.”

With this principle in mind, PPC Moulding Services makes people a high priority. This starts with

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P P C M O U L D I N G S E R V I C E S ( L J WA L L A C E P T Y LT D )

Chloe Aston, Payroll Administration and Quality Officer

a strong philosophy of people management, from the hiring process to training, and an emphasis on developing the right mix of people across all functions.

“We’re continuing to invest into the training of our staff in the business, and that’s not just training courses within Australia—we’ve sent many of our moulding technicians to Arburg in Germany for continued training, to ensure we get the best results and understand everything that our machines have to offer,” says Aston. “It’s a challenging thing to keep up with, but we are very focused on making sure that everybody maintains that continued level of training. We’re also expanding our executive team, and we’re looking for people with the right skill sets who are going to enhance not only our business but the support and backup we offer our customers.”

But providing good service is about more than having good people in-house. As PPC understands, it’s also about understanding each job as it comes—and that originates with

AUSTRALIA

listening well to the clients you serve to ensure that everyone is working together toward the best end product possible.

“We do have a focus on making sure that we listen to our customer, and that everyone within the business is the right person and can provide the required solutions for our customers,” says Aston. “Without supporting our customers there’s no business to have. But if they’re totally happy with the service we offer, there’s no reason why our growth shouldn’t continue.”

Looking into the future PPC is certainly on the right trajectory for continued growth. “We see our future as a strong future,” says Aston. “We’re looking at globalizing our footprint—we’re looking at different markets around the world where we can satisfy not only our current customers, but also potentially new customers.”

In addition to this global growth, PPC is also pursuing further growth on the home front. “We see that our business in Australia will continue to grow—we’ve had good growth this year, we’ve expanded our workforce this year and we see that as continuing as well,” notes Aston. “We’re certainly budgeting for future growth. With the projects and opportunities we’re still seeing on a weekly basis, we’re confident that this growth is certainly achievable.”

Company Information INDUSTRY

Injection Moulding and Medical Device Manufacture HEADQUARTERS

25 Miowera Rd Villawood, New South Wales Australia, 2163 FOUNDED

2007 EMPLOYEES

250 REVENUE

60 million PRODUCTS/ SERVICES

Injection Moulding and Medical Device Manufacture

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DENTSPLY

World leader in odontology Present in more than 120 countries, the company invests heavily in P&D and offers a complete line of products and integrated solutions.

Written by: Flรกvia Brancato | Produced by: Karla Sohn

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D E N T S P LY

C

onsidered the largest dental company in the world, Dentsply has been in business for more than 100 years and is present in more than 120 countries. There are more than 20 plants around the world, producing a complete range of products and leading brands for everyday procedures.

In Latin America, Dentsply is headquartered in Argentina, Chile and Colombia, and is represented in all Spanish-speaking countries, including two plants in Brazil: one in Catanduva, São Paulo state and the other in Petrópolis, Rio de Janeiro state. Both locations have earned numerous certifications, including GMP, ISO, CE marking—from the European Community—and are registered with the United States’ FDA. Out of approximately 1,000 Latin American employees, over 85 percent are in Brazil, including the largest sales force and advertisement efforts in the dental market.

Suitable for cementing: inlays/onlays and denture adhesive

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BRAZIL

IPN tooth technology

Quality with integrated solutions No company in the world of dental industry invests as much in research and development as Dentsply. The company boast many innovations, including: the first shade guide with 25 shades; a hand piece 40 times faster than those used previously; the first cement drill for root canals; the first glass ionomer; the first light-cured resin; the first tooth technology IPN (interpenetrating polymer network); and the first endodontic instruments in nickel titanium.

Serving all specialties in the industry, the company offers integrated solutions in restoration and aesthetics, prevention, print materials, artificial teeth, laboratory prosthesis, endodontics, dental implant, and anesthetics.

Jeltrate - Alginate impression materials

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Degudent DeguDent, a division of Dentsply Group acquired in 2002, is the most focused company in the fixed prosthodontics segment. In addition to a wide range of products used on a daily basis in its laboratories, including metal-ceramic, ceramic metal-free, precious and non-precious alloys, the company also has a high-tech equipment line.

Removable prosthesis Dentsply was the first to produce artificial teeth and created the concept that is now widely used for diffused color scales. Currently, the company is a benchmark in teeth production and exports to its various branches in Europe, Asia and Australia. It leads the Brazilian market with Biotone tooth, a four layer ArtiPlus tooth.

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BRAZIL

Implantology Offering a complete line of dental implants, digital technologies and development of professional tools, Dentsply Implants is the combination between two successful and innovative dental implants companies: Dentsply Friadent and Astra Tech Dental.

Social responsibility When it comes to being socially responsible, Dentsply develops projects and across the board. One example is a continued investment in education, working along universities and organizations throughout the country. The program provides material donations, student awards, and free courses for graduates.

The company also sponsors the “Beginner Dentistry Researcher Program SBPqO - Dentsply,� conducted by the Brazilian Society for Dental Research, which gives a graduating student from each one of Brazil’s

Cristobalite coating

Biotone resin

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D E N T S P LY

Multimat NTX and NTXpress

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BRAZIL

Precise SX - Condensation Hydrophilic Silicone

dental schools the opportunity to win a trip with paid expenses to participate Annual Meeting of SBPqO. The three top dental students are chosen based on their work, with first place representing Brazil at the Student Clinician Award, an event sponsored by the American Dental Association and Dentsply International.

Beginning in May 2006, the Health in the Company Program is aimed to promote the health and quality of life of employees through interventions that prevent occupational diseases.

The program promotes stress reduction and enrichment of interpersonal relationships, and encourages the adoption of a healthier lifestyle with educational lectures, counseling, medical

Beginner Dentistry Researcher Program SBPqO

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D E N T S P LY

TPH3

and nutritional monitoring, labor gymnastics and gym memberships.

Dentsply developed the Growth Incentive Program with the goal of assisting in the education and training of employees, their dependents, and independent contractors. The project trained about 150 people and has been stimulating the acquisition of knowledge and skills in the ethical, political and social context since 2003.

Environment In all manufacturing processes of Dentsply, diligent measures are put in place, aimed at environmental protection. Recently the company invested about USD 285 million in its industrial park in Petr贸polis, Rio de Janeiro state, to treat industrial effluents. The system consists of two pre-treatment units and a biological treatment plant that circulate liquid waste through 58

September 2015

BRAZIL

Company Information NAME

Dentsply Brasil INDUSTRY

Dentistry E S TA B L I S H E D

1955 - Dentsply Brasil 1899 - Dentsply International PRODUCTS/ SERVICES

decantation and filtering tanks.

As for waste disposal, everything generated by the company undergoes a thorough evaluation before heading to its final destination. Hazardous waste, for example, is directed to co-processing area where incineration takes place. The resulting ashes are mixed with cement in a controlled manner, neutralizing them altogether. Waste management meets the legal regulations related to the activities of transport, handling, storage and distribution of hazardous chemicals, ensuring better performance in the areas of safety and environment.

Integrated solutions in Dentistry, serving multiple specialties

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PHARMACEUTICAL

HERITAGE Drogueria INTI of Bolivia is preparing to celebrate its 80th anniversary by launching new products.

Written by: Rebecca Castrejon, Editor Produced by: Lucy Verde, Director of Projects for WDM Group-LATAM Interviewee: Christian Schilling, General Manager of Drogueria INTI

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DROGUERIA INTI S.A.

L

aboratory Drogueria INTI was founded in March 1936, in the city of La Paz, Bolivia.

Ernesto W.N. Schilling Huhn, created the company in order to cover one of the most important needs of Bolivians: “accessibility to high quality medicines that were close to the community”.

Although the company was founded under the name “Drogueria Hamburgo”, in 1947 they changed its name to Drogueria INTI SA. After raising brand recognition in the domestic market, the drugstore began internationalization practices by 1950. Since then, INTI has been recognized in other global economies as a pharmaceutical brand with some of the highest manufacturing integration.

Drogueria INTI took a big corporate step after getting registered in the National Stock Exchange of Bolivia (BBV) to issue bonds through it. However, the company is still attached to the same structural values that have shaped the family company under the leadership of German visionary, Ernesto Schilling Huhn, almost 80 years ago.

Some of their main products are: Mentisan (mentholated ointment, cough syrups, cough drops, flu medications), VIMIN (different vitamins and multivitamins in different forms), tonic INTI (multivitamin syrup with amino acids) Pasuma,

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FLORESTOR (biological treatment of stomach problems), DG 6 (disinfectant), OMEGASTRIN (modern treatment against ulcers), NOXOM (cutting edge treatment against all types of parasites), SERA (large volume parenteral solutions) QUEMACURAN (burns treatment), Nutrilon (milk formula for babies), among others.

Today, Drogueria INTI has a share value of more than 14 percent in the Bolivian pharmaceutical market and is mainly distinguished by its quality products and the expert knowledge of its professionals.

Pharmaceutical leadership Business Review Latin America had the opportunity to interview INTI’s current leader, Christian Schilling, CEO of Laboratorio Drogueria INTI and third generation at the helm of the pharmaceutical company.

Key People

Christian Schilling General Manager of Drogueria INTI Schilling developed part of his studies in Germany, while studying the career of Superior Technician in Industrial Organization at B. Braun Melsungen AG. He then continued his education by taking a major in Business Administration from The University of Gottingen also in Germany. Years later, he moved to Colombia to continue his international experience in the pharmaceutical sector, working for Merck as Product Manager during the next three years.

Schilling returned to Bolivia to control the commercial area of Drogueria INTI, occupying the commercial management post on April 1997. By mid1998, Schilling intermediate in general management duties during his father’s illness, Dr. Dieter Schilling, remaining in this leadership since 2010, after his unfortunate death.

In 2012, Christian Schilling received the award of Entrepreneur of the Year by the Rotary Club Chuquiago Marka that gave the Paul Harris Award.

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C O M PA N Y N A M E

Headquarters in Bolivia

“It was a heavy burden, but more for the fact that my father is no longer here. Fortunately during this time we have built a great team of collaborators and thus we may continue to carry out many projects,” said Schilling.

Drogueria INTI launched the first Bolivian application to control diabetes

After years of sustained growth in the Bolivian healthcare market, INTI continues to look forward with dynamism and positive indicators for the next 10 years.

“We’ve always tried to be innovative, both in the technical, financial or commercial aspects, we were the first pharma company to have bonds as financial means in the Bolivian Stock Exchange,” added the CEO.

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SECTOR

Christian Schilling a few years ago, during the celebration of the 75th anniversary of Metisan

“While we have

Key differentiators 1. Pharmaceutical legacy: Drugstore INTI is recognized not only by the quality of its products, but for providing solutions to the whole family as a brand that works for the welfare of local consumers.

2. Leading the Bolivian health market: INTI was the first to be certified by the Medicines Act, enacted in 1997.

3. Use of the best manufacturing practices: Investment in training and equipment to optimize production processes and to provide consumers with a higher quality product.

globalized our products and sought alternatives in other countries like China and India, we always try to have local partners” – Christian Schilling, General Manager of Drogueria INTI

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D I S T R I B U I D O R A D E E L E C T R I C IPhoto: D A Dindustriabolivia.blogspot.com DELSUR

Christian Schilling, General Manager of Drogueria INTI 66

September 2015

L AT I N A M E R I C A

Additionally, the company faces a low turnover in their production area, denoting INTI’s tradition in talent management.

“We have no problem in attracting new employees and little people leave, it is all in how we treat them and invest in their development,” said Schilling.

Pharmaceutical technology

Metisan, one of INTI’s most representative

To protect the safety, efficiency and purity in drugs, Drogueria INTI acquired a new factory to manufacture their medicine in 2002. The company invested US$8 million in first-class equipment, followed European standards in the design and construction of the plant, and integrated best practices in manufacturing BPM - GMD. Today, the factory is considered one of Latin America’s best plants.

Under Schilling’s leadership, the company continues to upgrade its methods and renewing medical equipment according to national and global regulations led by WHO World Health Organization.

“We are always improving our technical equipment, but as we are a competitive player in the pharmaceutical industry, we are used to renovating our plant,” said Schilling.

In early 2016, INTI will receive new European machinery, such as new Uhlmann blisters, COURTOY tablet press, etc. which will increase productivity and efficiency.

products

Chispitas, nutritional supplement of INTI

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Brand INTI

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DROGUERIA INTI S.A. Another aspect that portrays the modernity of the business is its adjustment to new technologies, such as INTI’s digital applications for the use of the whole value chain.

Portfolio innovations

Social Responsibility Award: INTI was recognized with the Award for Excellence Paul Harris

Drogueria INTI also sells drugstore products such as B.Braun, Merck, Nutricia, Meda Pharma, SIT, Beiersdorf, Chinoin, Kin, Galderma, Dentinox, Bebelac, among others. Containing in its portfolio a list of more than 500 solutions. Additionally, the company recently relaunched one of their most popular brands, Mentisan, revamping its presentation.

L AT I N A M E R I C A

Social and environmental responsibility INTI allocates part of its resource to welfare programs, such as diabetes prevention seminars, the refurbishment of Dr. Jaime Torrico’s rheumatology unit, donations to national health campaigns, and intensive medical update courses for their medical staff, among many others.

“We have collaborated with government initiatives and UNICEF, to reduce child mortality from diarrhea, by providing oral rehydration salts called Sueros de Vida,” said Schilling. The CEO also mentioned other social activities such as the

“The last five years have been very successful for us.

With these positive projections we believe we can achieve more than 10 percent growth annually” – Christian Schilling, General Manager of Drogueria INTI

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DROGUERIA INTI S.A. Chispitas program, where the company delivers nutritional supplements to kids; and the initiative to combat violence against women in Bolivia.

Social Responsibility: sponsoring sports

This year, they are working to achieve a cleaner production certification by demonstrating their environmental commitment to energy efficiency processes, the proper use of resources, etc.

Associates with value “If possible, we want to manufacture our products in Bolivia instead of importing, and thus ensure

L AT I N A M E R I C A

Company Information

more jobs for the country,” said Schilling after discussing local suppliers.

In celebration of their 80th anniversary, the management team of Drogueria INTI gratifies employees that have accompanied the company during its growth, with workers that have been with the drugstore for 30, 40 and even 50 years.

NAME

Short-term projections

HEADQUARTERS

Drogueria INTI S.A. INDUSTRY

Pharmaceutical

La Paz, Bolivia

Apart from consolidating its domestic market in Bolivia, INTI plans to increase commercialization efforts in Peru and Paraguay, while continuing with some exports to Germany. Additionally, the company will consider a further introduction into more European countries, starting with France.

“The last five years have been very successful for us. With these positive projections we believe we can achieve more than 10 percent growth annually,” said Schilling.

FOUNDED

1936 EMPLOYEES

930 REVENUE

USD $ 90 million WEBSITE

www.inti.com.bo

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Innovative

by association Written by: Adrian Contreras, AMID Produced by: Lucy Verde, Director of Projects for WDM Group-LATAM

AMID

Key People

Pablo Davila President of AMID Bachelor in Business Administration with specialization in Marketing, with over 19 years experience in the Medical Device Industry at companies such as Johnson & Johnson, Baxter and Smith & Nephew where he has occupied several commercial & business development positions and since 2005 as head of Mexico and Central America.

Currently is responsible for Latin America North at CR Bard, as well as the first Mexican to become President of the Mexican Association of Innovative Medical Devices Industry (AMID). AMID brings together 23 global companies of leading medical devices and diagnostic systems, promoting the advancement of medical science and the improvement in attention and patient care through technology of the highest quality.

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AMID

T

he Mexican Association of Industries Innovative Medical Device, AC, (AMID), consists of 24 global companies that develop, manufacture and market safe, effective, medical devices, innovative technology and quality that impact favourably to the services of the health sector and the economy.

Cardiac procedures, haemodialysis and screening for breast, imaging, clinical laboratory, surgical procedures and infusion therapy and other important health interventions for cancer, may be provided through technologies AMID. AMID members in close collaboration with the health sector and other stakeholders aimed at strengthening access to health services with quality, timeliness and cost-effectiveness, considering aspects such as regulatory processes and efficient and transparent procurement; while encouraging ethical business activities.

Health and the economy: A vital relationship We in AMID, we are committed to work for the Mexican health by providing access to our products and continuously working with all public and private actors that converge in health care.

In short, AMID seeks to improve health by promoting the economy.

L AT I N A M E R I C A

Key People AMID proposes: • For the health sector simplify access to innovative technologies, closing the gap in quality of care.

• On the fiscal encourage investment in the development of innovative medical devices and improve transparency in the procurement process.

• To build the economic development policies that boost competitiveness to tap the potential exporter and importer of Mexico.

Edgar Romero Vicepresident of AMID Edgar Romero is a Business Manager for Edwards Lifesciences Mexico, Central America and the Caribbean. He has been involved for more than 20 years on Medical Device and Pharmaceutical companies for Mexico and Latin America, including former Country Manager of Hospira and other strategic positions for Guidant and Medtronic. Romero serves for AMID as a vicepresident.

He received a bachelor’s degree in electronical engineering from Instituto Tecnologico of Morelia in 1992 and holds MBA degree from EGADE Business School, Campus Santa Fe ITESM, Mexico.

Mikel Arriola of COFEPRIS and Pablo Davila, President of AMID

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AMID

Key People

App of Latin America Compliance Conference 2015

Carlos Jimenez Vicepresident of AMID Carlos Jimenez is CEO of B. Braun Aesculap in Mexico since 2008. He leads the financial, commercial and production operations. He has over 28 years experience in the medical and hospital industry in all Latin American countries, occupying various positions and responsibilities within the B. Braun Group, directing the inclusion of the Aesculap division from 1998 to 2005 in all branches of B. Braun in Latin America.

Since 2012 is part of the Steering Board of the Mexico-German Camera and currently is the second vice president of the Mexican Association of Innovative Medical Device Industries, AC (AMID).

Carlos Jiménez is of German and Spanish origin. He studied at the School of Commerce “Kaufmännische Schulen” in the German city Tuttlingen the “Integral Management of Industrial Enterprises”.

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Figures on the contribution of members of AMID in health and economic terms listed: • Our products cover more than 75 medical specialties.

• We have over 7000 100 medical records and more than 310 000 related products.

• Between 2013 and 2018 we will add more than a thousand 400 throws.

• In Mexico we have 30 production plants and reached more than 10 billion dollars in sales.

• Provide annual training to more than 25 000 health professionals.

• Gather together the 83.8% of imported products to Mexico putting in place 16; and on the 9th place in terms of exports in 2013.

L AT I N A M E R I C A

Company Information A S S O C I AT I O N

The Mexican Association of Innovative Medical Device INDUSTRY

Medical equipment HEADQUARTERS

• Generate 134 thousand formal jobs in manufacturing plants and in training and marketing.

• Invest 138 billion dollars in research globally.

Mexico

• Generate royalty payments made to the State 90% of the procedures for health records.

WEBSITE

FOUNDED

2007

www.amid.org.mx

• Perform from 55% to 70% of pay rights to health products.

• Our experience supports us with over 90 years operating in Mexico and over 175 years in the world.

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PREMIUM Medicine for Latin America Manufacturing more than 160 years of experience in global pharma.

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September 2015

Written by: Rebecca Castrejon, Editora Produced by: Lucy Verde, Director of Projects at WDM Group-LATAM Interviewee: Carlos Abelleyra, CEO of Aspen Labs in Latin America (except Brazil) and Eduardo Sosa, General Manager of Aspen Labs Mexico

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ASPEN LABS

A

spen Labs is a company with more than one hundred years of life in the global pharmaceutical aspect. The company was founded in 1850 in South Africa, and reached Latin America by the year 2000, established under a joint venture between the pharmaceutical company Strides Arcolab Limited.

Years later, the corporation purchased distribution rights of four products of GlaxoSmithKline Pharmaceuticals Limited.

Aspen Labs in Mexico

By August 2000, the pharmaceutical company established its presence in Mexico, inaugurating a factory in the city of Toluca. This plant has the latest manufacturing equipment and pharma machineries, such as blisters to produce more than 1,150 million tablets and 55 million capsules.

Aspen Mexico also produces generic oral solids under the strictest standards in the industry and holds an exporting license from COFEPRIS (Federal Commission for Protection against Sanitary Risks).

Mexico is also one of the largest and most important pharma markets in Latin America. Its annual sales represent more than five percent of the company’s revenue, a figure projected to double despite the rising dollar.

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L AT I N A M E R I C A

Aspen Labs current operations in Latin America (Spanish-speaking)

Key People

The pharmaceutical market in Latin America has a combined value of US$26 million as indicated by IMS Health.

Its current distribution includes the commercialization of products through subsidiaries in Argentina, Mexico and Venezuela, reaching neighboring countries such as Chile, Colombia, Ecuador, among others. The private sector accounts for more than 80 percent of Aspen’s regional sales.

Eduardo Sosa General Manager of Aspen Labs Mexico Graduated doctor from Anahuac University of Mexico (Universidad Anahuac de Mexico) in 1994, with a degree in Pharmaceutical Administration from ITESM (2003 to 2004) and a Masters in Business Administration for experienced executives from IPADE (2008-2010).

Sosa has more than 10 years of corporate experience in the pharmaceutical industry. He began as Product Manager for Schering-Plough Mexico in June 2004, and then joined the multinational Pfizer, where he held various management positions until March 2011.

By August 2011, Sosa was working as regional manager of a business unit for Covidien, and in January 2013 he joined BD Medical Devices as Director of business for Latin America.

He took the administrative leadership of Aspen Labs Mexico in October 2014, successfully governing as General Manager of all operations in the country.

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AlmacĂŠn del plantel central de DELSUR

Some Aspen products 82

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“Nuestro personal con calidad la operación en DELSUR” – Roberto González, Gerente General Distribuidora de Electricidad del Sur, S.A de C.V

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ASPEN LABS Aspen LATAM main brands are represented through its infant formula (S26 Promil, SMA Progress, Phillips Milk of Magnesia, Fraxiparine, among others).

In the short term, its regional expansion will be focus in Argentina, where they will soon materialize the acquisition of a new company after the financial analysis is complete, and with the consolidation of the private market in Chile.

A look inside the halls of

Consolidating acquisitions

Aspen in Mexico

While Aspen Labs has maintained a sustained development under their own brands, the pharmaceutical company has reached their full potential through acquisitions and brand commercialization. One example was the purchase of Pfizer’s infant formula for Latin America in August 2013, including its pharmaceutical plant in Mexico; subsequently an acquisition of health products from Merck and critical care drugs from GlaxoSmithKline. The next portfolio purchase occurred in mid-2014, with Merck Sharp & Dohme feminine product line.

In an interview with the CEO of Aspen Labs in Mexico, Eduardo Sosa, he mentioned in detail their overall growth plans, highlighting the following:

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1. To consolidate acquisitions in the regional market.

Key People

2. Increase regional market share.

3. Improve operational efficiency to maximize profitability.

“During 2016, we will be consolidating all acquisitions, particularly, by improving our market share,” added Sosa. In addition, they seek to strengthen their infant formula products and Aspen Pharma prescription drugs.

“Our focus this year is in organic growth.

We are participating more actively in medical conferences to maintain closeness with pediatricians and neonatologists, revealing our alternative formulas, which are the most similar to breast milk, “emphasized Carlos Abelleyra, CEO of Aspen Labs in Latin America (Spanish-speaking) and entrepreneur with more than 30 years of experience in the pharmaceutical industry.

In the medium term, the company will continue to expand its portfolio by reaching new public and private markets, as in the case of its next export to Australia; They also discussed future acquisitions both globally and in Latin America (excluding Brazil). “At the moment we are in the financial analysis period of a next acquisition in Argentina,” added Abelleyra.

Carlos Abelleyra CEO of Aspen Labs Latin America Expresident of CANIFARMA and former CEO of Wyeth Mexico and Central America (from March 2002 until August 2008). During his tenure, Wyeth was among the leading companies in biotech drugs, vaccines, women’s health and infant formulas; Wyeth also gained recognition as a Socially Responsible Company, A Great Place to Work and was awarded in Ethics and Values.

From March 2003 to February 2005, he became president of LAWG, the group that integrates leading US pharmaceutical companies with operations in Mexico (Abbott, Bristol-Myers Squibb, GSK, Eli Lilly, JanssenCilag, MSD, Pfizer, Schering Plough and Wyeth).

With more than 30 years of industry experience, Carlos Abelleyra has served as Commercial Vice President of Wyeth, Commercial Director of Aventis, Director of Sales and Market Development at Bristol Myers Squibb and responsible for sales and marketing of Johnson & Johnson Mexico.

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DISTRIBUIDORA DE ELECTRICIDAD DELSUR

Aspen Labs in Mexico: Inside the Vallejo plant

Innovating regional medicine Aspen Labs supplies drugs for cardiovascular, metabolism, central nervous system, antiinflammatory and analgesic diseases, among others. The company has established its credibility as pioneers in the fight against AIDS, by launching new medicine, and earned the trust of consumers, physicians, nurses, pharmacists and wholesalers; becoming a major player in the health sector.

Expanding its infant formula category

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Its competitiveness is notable for its sales force and manufacturing of tablets, capsules, sterile

L AT I N A M E R I C A

injectable oral contraceptives, nutritional products, lyophilized, cytotoxic, suppositories, liquids, antiretrovirals, semi-solid and active ingredients.

Under constant renovations of medical solutions, the company allocates part of its capital to research and development, hoping that by mid 2017, the Latin American market could enjoy new products in cardiology, infant and critical care.

“Today we have this package for infant formulas, which we will launch in the next 24 months. On the side of Pharma, we will draw the market for critical drug medicine and cardiology,” said Sosa.

Aspen Labs Latin American CEO said: “We will be launching new solutions in some countries, this to complement our female care and cardiovascular health business units.”

Additionally, they will continue to work on alternatives for those mothers who are not able to produce breast milk, adding new formulas to its portfolio in this category, such objectives include:

“We firmly believe that adding value requires full conviction, is not only to sell products, but integrating shareholder value, by having an important responsibility with our society” – Carlos Abelleyra, CEO of Aspen Labs in Latin America (except Brazil)

1. Innovative formulas for breast milk reproduction during the baby’s development.

2. New products intended for infant development during gestation and growth.

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ASPEN LABS

Providing higher quality solutions to the health industry Aspen Labs portfolio lists more than therapeutic solutions, but innovations in OTC medications, nutritional supplements for the nervous system, new women’s health and ophthalmologist products, etc.

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Their quality control department integrates Pharma vigilance, which follows regulations such as SSA1-2002 NOM -220-SS, and a series of Standard Operating Procedures. This Department interacts with doctors, patients, research centers and health units to ensure safety.

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ASPEN LABS

“We will remain as leaders in the global health market, increasing quality at all levels of the company” – Eduardo Sosa, General Manager of Aspen Labs Mexico

Aspen Mexico’s CEO illustrated their methodology to ensure manufacturing quality: “ We focus on ensuring the three Ps, which are the product, the process and the person. All equally important.”

Pharmaceutical talent In terms of human management, Aspen Labs confirms that the greatest incentive in sales comes from the work of their staff; producing quality brings an added value to the portfolio.

In addition, each employee is highly trained and updated with modern techniques.

“We are confident of the level of talent that is being developed in Mexico in the pharmaceutical industry,” said Sosa. With this in mind, Aspen Labs noted that their Toluca factory in Mexico has the potential to supply product way beyond its national coverage and to the rest of Latin America (excluding Brazil).

This industrial capacity exceeds to the administrative area of Aspen Labs, a clear example is the talented Doctor Sosa, current leader of Aspen Mexico, and Carlos Abelleyra, a multifaceted entrepreneur who governs all operations in Latin America.

This 2015, Aspen Latin America is heavily investing in Aspen Centers of Excellence (ACE) in

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order to replicate best manufacturing practices them in every pharmaceutical plant In the region, concentrated in these three areas: commercial, operations and finance. “The goal is to not only be more efficient, but to have the best practices in each country, and triggered faster and better results,� said the CEO of Aspen Labs Latin America.

Global confidence in regional talent

Regional logistics Working to be one

Aspen Labs suppliers, follow the company’s national and regional growth regulations, established guidelines, Aspen code of ethics and zero tolerance policies of lack of quality on the delivered material. From raw materials providers to manufacturing equipment, packaging, commercial services, health promotion materials,

of the top 10 largest pharmaceutical companies in the region

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ASPEN LABS among many others, are partners in the pharmaceutical development of the company.

“We believe in internal development, we are confident that Mexico can continue to grow both domestically and with suppliers and business partners,” said Sosa.

Presence in Latin America

“We’re not in countries like Paraguay, Uruguay and Bolivia, but for the moment we operate there through distributors,” added Abelleyra. In reference to the internal supply chain he said: “In

We deliver the right label every time because your health depends on it.

Multi-Color delivers the world’s best label solutions to the world’s most prominent brands.

THE WORLD’S BEST PREMIUM LABELS 513.381.1480 | mcclabel.com

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our supply chain we have a regional area that is part of the Center of Excellence in Operations.”

Company Information

Five-year projections

NAME

Aspen Labs

During the current fiscal year, Aspen Labs aims to grow 56 percent versus the company’s last report, which means increasing sales to $2.100 billion pesos. They also hope to position themselves in the top 10 of the largest pharmaceutical companies in Mexico and the region by the year 2020.

INDUSTRY

Pharmaceutical HEADQUARTERS

Mexico city, D.F., Mexico

“We will remain as leaders in the global health market, increasing quality at all levels of the company,” said Sosa.

FOUNDED

“We firmly believe that adding value requires full conviction, is not only to sell products, but integrating shareholder value, by having an important responsibility with our society,” concluded Abelleyra.

EMPLOYEES

2000 en Mexico y 2008 en América Latina

1,100 WEBSITE

www.aspenlabs.com.mx

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