Pharmaceutical Hub Switzerland: Zurich-Zug-Lucerne

PHARMACEUTICAL HUB SWITZERLAND ZURICH-ZUG-LUCERNE

TABLE OF CONTENTS

Preface 4 Pharmaceutical Industry in Switzerland Swiss Pharmaceutical Cluster

6 8

Zurich-Zug-Lucerne 10 Innovation Capacity 18 Inward Investment Factors 26 Company Profiles 32 Glossary 50

ZURICH-ZUG-LUCERNE

3

PREFACE

Councillor Matthias Michel, Director for Economic Affairs in the Canton of Zug

Thanks to its three centres, namely Zug/Zurich, Basel and Lausanne/Geneva, Switzerland is currently one of Europe’s leading life sciences hubs. The life sciences industry has a strong international base, as reflected in export volume: pharmaceutical products account for one third of all Swiss exports.

The life sciences industry places high demands on the location. The potential for regional innovation is just as important as the tax situation and regulations. Product development and manufacture are knowledge-intensive. This is where Switzerland can score points. Innovation is directly related to research and development (R&D), amongst other things. Switzerland is one of the countries with the highest R&D investment in relation to its gross domestic product.

Switzerland has a first-class university environment. The ETH Zurich, for instance, is recognised as the best university in continental Europe. It carries out research at the highest level in the various life sciences disciplines. Networks promote collaboration and dialogue between universities, industry, the authorities and organisations at home and abroad.

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PHARMACEUTICAL HUB SWITZERL AND

With approximately 270 companies, the life sciences cluster in the canton of Zug is currently one of the most important. It has around 7,400 employees accounting for approximately 7 per cent of the workforce. Abbott, AbbVie, Amgen, Biogen, Bristol-Myers Squibb, Johnson&Johnson, Novartis or Roche, to name but a few, have their international headquarters or regional operations in the Zug economic area.

The attraction is multifaceted and cannot be attributed to the tax incentive alone. The availability of highly qualified staff and close proximity to important universities, in particular, are crucial. Zug is part of the metropolitan area of Zurich and is also appealing because of its good transport links (e.g. to Zurich Airport), attractive infrastructure and international approach.

The Zug economic area has a particularly strong focus in the pharmaceutical industry. Typically, many life sciences companies have their headquarters here. Intellectual property administration in terms of patents and licences is managed in this area. Research and production also play a vital role. For example, Roche, which is the biggest private employer in the canton, develops blood analysis procedures and produces diagnostic devices at its international diagnostics headquarters in Rotkreuz.

The growing cluster has a magnetic effect: numerous companies are commissioned to carry out clinical research or approve medicines. Consequently, there is a dense network of consulting firms specialising in tax, financial planning, legal issues, personnel advice and IT support.

ZURICH-ZUG-LUCERNE

5

PHARMACEUTICAL INDUSTRY IN SWITZERLAND

7.2%

AVERAGE ANNUAL GROWTH RATE OF REAL GROSS VALUE ADDED (2006–2016)

4.3× MORE PRODUCTIVE THAN OVERALL ECONOMY (2016)

SWISS FRANCS NOMINAL GROSS VALUE ADDED (2016)

45,500 EMPLOYEES (2016)

Study on behalf of Interpharma Further information on the economic importance of the Swiss pharmaceutical industry is provided in our publication, entitled “The Importance of the Pharmaceutical Industry for Switzerland”.

This is available on our website at Publikationen/Pharmastandort.

6

PHARMACEUTICAL HUB SWITZERL AND

Source: BAK Economics, Polynomics, FSO, 2017

28.9 BN.

The pharmaceutical industry significantly impacts the Swiss economy both directly and indirectly. The direct economic importance can be measured, for example, by the value of exports, number of employees or gross value added (GVA). The latter is calculated by deducting the value of intermediate goods and services from the goods produced (production value). In 2016, the nominal GVA of the pharmaceutical industry amounted to 28.9 billion Swiss francs – an approximate fourfold increase compared to 20 years earlier. With an average annual growth rate of real GVA of 7.2 per cent, the pharmaceutical industry has impacted considerably on the growth of the Swiss economy in recent years.

The indirect effects of the pharmaceutical industry can be measured in addition to its direct effects. Approximately 138,000 additional (full-time) jobs have been generated through cross-industry collaboration with other companies, taking pharmaceutical industry intermediate goods and services into account. Similarly, the employee demand for consumer goods and services together with the tax revenue from the pharmaceutical companies have an indirect effect on the overall economy. The direct and indirect GVA amount to approximately 49.6 billion Swiss francs.

Furthermore, pharmaceutical companies in Switzerland invest heavily in research and development (R&D). In 2012, the share of private-sector investment in R&D accounted for around 2 per cent of the national gross domestic product (GDP). This high rate of investment highlights the importance of the Swiss research hub. In addition, the sector is making a significant contribution to ensuring that Switzerland is also perceived as an innovation driver internationally, leading the European and global innovation rankings.

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7

Around

88%

OF THE SWISS PHARMACEUTICAL INDUSTRY NOMINAL GROSS VALUE ADDED was achieved in the Basel Region, Espace MittellandBassin Lémanique and Zurich-Zug-Lucerne clusters in 2016.

n Basel Region n Espace Mittelland-

Bassin Lémanique n Zurich-Zug-Lucerne

n Schaffhausen n Ticino n Valais

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PHARMACEUTICAL HUB SWITZERL AND

Source: BAK Economics, 2018

SWISS PHARMACEUTICAL CLUSTER

Basel Region The Basel Region Pharmaceutical Cluster comprising the cantons of Basel-Stadt, Basel-Land and Jura together with Fricktal and Dorneck-Thierstein, is of major international importance. International companies such as Actelion, Bayer, Boehringer Ingelheim, Novartis and Roche are located in this area.

Espace Mittelland-Bassin Lémanique The cantons of Bern, Fribourg, Neuchâtel and Solothurn are located in the Espace Mittelland Area whilst the Geneva and Vaud cantons are located in the Bassin Lémanique Area. Together they form the Espace Mittelland-Bassin Lémanique cluster, which is home to the Swiss branches of Biogen, ­Celgene, Eli Lilly, GlaxoSmithKline, Merck, Sanofi, UCB and Vifor Pharma.

Zurich-Zug-Lucerne The Zurich-Zug-Lucerne cluster has grown into an attractive location for international life sciences companies. It is home to the following companies: AbbVie, Allergan, Amgen, AstraZeneca, Bayer, Biogen, Bristol-Myers Squibb, Gilead, Janssen, Lundbeck, Merck, MSD (Merck Sharp & Dohme), Novartis, Pfizer, Roche, Shire, Takeda and Vifor Pharma.

Schaffhausen / Ticino / Valais There are also three smaller pharmaceutical clusters in Switzerland: In Schaffhausen, the pharmaceutical industry plays an important role for the local economy and is based primarily on the activities of Cilag. In the Ticino cluster, the pharmaceutical industry has grown historically and now includes several medium-sized companies. Valais is extremely important as the area accommodates suppliers who produce chemical inputs for pharmaceutical production.

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ZURICH-ZUG-LUCERNE THE PHARMACEUTICAL INDUSTRY IN THE ZURICH-ZUG-LUCERNE CLUSTER

12.6%

AVERAGE ANNUAL GROWTH RATE OF REAL GROSS VALUE ADDED (2006–2016)

16

PATENT APPLICATIONS in 2013 (per million inhabitants)

1.2 BN. SWISS FRANCS NOMINAL GROSS VALUE ADDED

2,200 EMPLOYEES in 2016

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PHARMACEUTICAL HUB SWITZERL AND

Source: OECD, BAK Economics, 2018

(2016)

The manufacture of medical devices is amalgamated with the life sciences industry. This includes the pharmaceutical industry, medical technology (electric and orthopaedic) as well as biotechnology, all of which are heavily engaged in research and development.

In the Zurich-Zug-Lucerne life sciences cluster, the traditional presence of medical technology lays the foundations for the ongoing development and anchoring of the life sciences industry in the area. In fact, the area has long since been a leader in the national medical technology sector. The area’s attractiveness for life sciences companies is based on several factors: The area’s central location and proximity to Zurich Airport ensure excellent accessibility, while first-class education and research – thanks, amongst other things, to ETH Zurich – also highlight the area’s innovative capacity. The area is also appealing because of its attractive taxation system and the availability of a highly-qualified workforce. The latter is extremely important for research-intensive companies.

Thanks to these good conditions, an above-average number of Interpharma member companies are located in the Zurich-Zug-Lucerne Area.

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ZURICH-ZUG-LUCERNE

EMPLOYMENT IN THE LIFE SCIENCES SECTOR Share of overall employment (as %), 2016 Øresund

2.4

Switzerland

1.5

Boston

1.3

SF Bay Area

0.9

Singapore

0.9

Zurich-Zug-Lucerne Munich

0.7 0.5

New York

0.5

Paris 0.2

London 0%

1%

2%

3%

Large medical technology and pharmaceutical workforce In 2016, approximately 10,000 people were employed by life sciences companies in the Zurich-Zug-Lucerne cluster.

This accounts for around 0.7 per cent of the area’s overall employment figure.

“The region’s attractive regulatory and tax environment, its central location with well-developed transport infrastructure and the availability of highly qualified employees are attractive to life sciences companies.”

Federal Councillor, Robert Küng, Head of the Department of Civil, Environmental and Economic Affairs of the Canton of Lucerne

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PHARMACEUTICAL HUB SWITZERL AND

Source: BAK Economics, 2018

0.7

EMPLOYMENT IN THE LIFE SCIENCES SUB-SECTORS Share of total number of employees (as %), 2016 59

Zurich-Zug-Lucerne Zurich

34

22

70

9

Zug

81

10

41

Lucerne

56

47 0%

20%

7 9 3

44 40%

60%

9 80%

100%

Pharmaceutical industry Medical technology Biotechnology Possible rounding differences

The cluster’s employment structure differs considerably from the national average. Compared to the life sciences sub-sectors, medical technology is by far the biggest employer: About 70 per cent of life sciences personnel work in this particular sub-sector in the Zurich-Zug-Lucerne cluster.

However, these figures only partially reflect the actual employment structure. Many life sciences companies have set up their administrative offices in the Zurich-Zug-­ Lucerne cluster. Employees in this corporate management and administrative sector are not included in the life sciences industry. This also applies to wholesale business units. Consequently, the number of pharmaceutical industry employees depicted in the graph above-mentioned is too low.

ZURICH-ZUG-LUCERNE

13

Source: BAK Economics, 2018

Switzerland

ZURICH-ZUG-LUCERNE

VALUE ADDED IN THE LIFE SCIENCES SECTOR Value added relative to regional total value added (as %), 2016 Øresund

8.9

Switzerland

5.6

Singapore

3.9

SF Bay Area

2.1

Boston

2.0

Zurich-Zug-Lucerne New York

1.1

Munich

1.0

Paris

0.9

London

0.4 0%

2%

4%

6%

8%

10%

Average share of value added In 2016, the value added of the life sciences industry in the Zurich-Zug-Lucerne cluster accounted for 1.6 per cent of the area’s overall added value. This is equivalent to a nominal gross value added of 2.9 billion Swiss francs overall. The pharmaceutical industry in the Zurich-Zug-Lucerne cluster generated approximately 1.2 billion Swiss francs.

“Life sciences is one of the fastest growing industries in the canton of Zurich. The highly innovative cluster has great future potential with ETH and Zurich University, medical technology and pharmaceutical companies as well as Zurich’s dynamic start-up scene.”

Dr. Regine Sauter, Director of the Zurich Chamber of Commerce

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PHARMACEUTICAL HUB SWITZERL AND

Source: BAK Economics, 2018

1.6

GROWTH RATE OF REAL GROSS VALUE ADDED AND EMPLOYMENT Average annual growth rate in life sciences (as %), 2006–2016 Singapore Øresund Switzerland Zurich-Zug-Lucerne Munich Boston SF Bay Area New York London –8% –6% –4% –2%

0%

2%

4%

6%

8% 10% 12%

Real gross value added Employment

Strong value added growth The average annual growth rate in terms of real gross value added in the life sciences sector in the Zurich-Zug-­ Lucerne cluster was approximately 5.6 per cent between 2006 and 2016. The area has therefore witnessed above-average growth in the life sciences sector over the last decade.

Growth in the life sciences workforce has been less strong over the same period, averaging an annual cluster growth rate of 2.4 per cent. Nevertheless the area has developed positively when compared to international locations such as London or New York.

ZURICH-ZUG-LUCERNE

15

Source: BAK Economics, 2018

Paris

ZURICH-ZUG-LUCERNE

PRODUCTIVITY IN THE LIFE SCIENCES SECTOR Nominal labour and hourly productivity (in CHF, current prices and exchange rates), 2016 0

100,000

200,000

300,000

400,000

500,000

0

100

200

300

400

500

Switzerland SF Bay Area Øresund Singapore New York London Boston Paris Munich

Nominal labour productivity (top axis) Nominal hourly productivity (below axis)

The pharmaceutical sector is the most productive Compared to other life sciences hubs in terms of productivity, the Zurich-Zug-Lucerne cluster performed well and ranks in front of some internationally renowned life sciences locations. In 2016, the life scien­ces industry in this cluster generated nominal labour productivity of 289,000 Swiss francs and nominal hourly productivity of 164 Swiss francs.

16

PHARMACEUTICAL HUB SWITZERL AND

Source: BAK Economics, 2018

Zurich-Zug-Lucerne

“Zurich has developed into a centre for life sciences in recent years. The life sciences branch has witnessed the strongest relative value added growth over the last decade and has contributed to Zurich’s diverse economic structure. A broad-based economy can withstand crises more effectively.”

Federal Councillor, Carmen Walker Späh, Economics Director of the Canton of Zurich

Taking the life sciences sub-branches into account, the pharmaceutical industry is recognised as the most pro­ ductive. In 2016, the pharmaceutical industry in the ­Zurich-Zug-Lucerne cluster generated 304 Swiss francs per working hour or around 537,000 Swiss francs per workplace. Lower values were recorded in the other sub-sectors.

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INNOVATION CAPACITY

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PHARMACEUTICAL HUB SWITZERL AND

Companies must be able to make dynamic adjustments in order to survive in an ever-changing commercial climate.

Innovation – the commercial implementation of new ideas and their impact on the business market – is one of the most important growth factors of a modern economy.

For several years, Switzerland has been one of the world’s most innovative countries. Thanks to cutting-edge innovation, Switzerland is a strong competitor in the international stakes. Particularly in knowledge-intensive sectors, capacity for innovation is an important factor when facing location decisions. Companies in the life sciences sector are therefore also interested in locations with a high innovation potential.

The innovation capacity of the Zurich-Zug-Lucerne cluster and the framework conditions that influence the area are shown on the following pages. Research and development expenditure, patent density, the quality of regional universities and the level of education of the workforce are analysed for this purpose.

ZURICH-ZUG-LUCERNE

19

INNOVATION CAPACITY

RESEARCH AND DEVELOPMENT EXPENDITURE Share of GDP (as %), 2012 0.3

2.4

Denmark

2.0

0.1

1.0

Switzerland

2.1

0.0

0.8

Germany

2.0

France

1.8

UK

1.0

Spain Italy 0%

0.5

0.4 0.3 0.5

1.5

USA

0.7

0.2

0.2

0.1 0.4

0.7

0.2 0.4

0.7

0.2 0.4 1%

2%

3%

4%

Private sector Public sector Universities

Private sector invests heavily in research and development Intensive research and development will generate new knowledge which, in turn, leads to innovation. A great deal is invested into the research and development of new medicines in Switzerland. Consequently, the pharmaceutical industry contributes to Switzerland’s competitive edge and economic growth.

In 2012, research and development expenditure in the private and public sectors coupled with universities accounted overall for approximately 2.9 per cent of the Swiss GDP. Switzerland therefore stands out from the crowd thanks to its intensive research activities and has consolidated its position on the international stage.

Investments in R&D are mostly in the private sector: The share of private-sector-financed R&D expenditure accounted for approximately 2 per cent of the GDP in 2012.

20

PHARMACEUTICAL HUB SWITZERL AND

Source: OECD, BAK Economics, 2017

Finland

PATENT APPLICATIONS Number of patent applications per million inhabitants, 2013 110

SF Bay Area

46

Øresund

32

Switzerland

24

Zurich-Zug-Lucerne 16 Munich

85 92

52 33

80

39 50

12

38

11 10 24 13

New York

17 15 7

Paris

12 11 10

Singapore

7 11 11

London

7 8 4 0

100

200

300

Pharmaceutical industry Medical technology Biotechnology

Catch-up potential in patent applications The number of patent applications provides an insight into the innovative capacity of a region. It allows research productivity to be assessed and the commercial value of knowledge to be measured on a worldwide scale.

In 2013, approximately 65 pharmaceutical, medical technology and biotechnology patent applications were filed per million inhabitants in the Zurich-Zug-Lucerne region.

The medical technology sector filed the most patent applications.

Approximately 16 pharmaceutical patents were filed per million inhabitants. The area ranks as average and is considerably behind the USA clusters. In comparison: The Boston Area filed seven times as many pharmaceutical patent applications.

ZURICH-ZUG-LUCERNE

21

Source: OECD, BAK Economics, 2017

Boston

INNOVATION CAPACITY

QUALITY OF THE UNIVERSITIES Index 100 = ø of the benchmark areas (Western Europe and USA between 2010 and 2014), 2016 Boston SF Bay Area

112

Zurich-Zug-Lucerne

112

Singapore

111

Ă˜resund

107

New York

106

Switzerland

103

London

102

Paris

100

Munich

100 0

40

80

120

160

Prestigious, high-quality universities High-quality academic research institutes attract specialists and high-level scientists from all over the world, thus benefitting other areas in addition to research. The quality of local universities is therefore an important location factor, which is particularly relevant for research-intense sectors such as the pharmaceutical industry.

The universities in the Zurich-Zug-Lucerne cluster achieved a score of 112 in the BAK Quality of Universities Index rankings. The area can therefore compete with other high-quality universities around the globe. The area scored highly in the life sciences discipline with 121 points, and can therefore easily keep pace with high-ranking universities worldwide.

The ETH Zurich provides clear-cut evidence of high-quality universities and their importance for the pharmaceutical industry: Through the intensive promotion of young talent, 22

PHARMACEUTICAL HUB SWITZERL AND

Source: CWTS Leiden Ranking, BAK Economics, 2017

155

QUALITY OF THE UNIVERSITIES IN THE LIFE SCIENCES SECTOR Index 100 = ø of the benchmark areas (Western Europe and USA between 2010 and 2014), 2016 Boston

131

Zurich-Zug-Lucerne

113

SF Bay Area

109

Switzerland

105

Singapore

105

New York

102

London

99

Paris

99

Munich

99 0

35

70

105

140

26 new spin-offs were created at ETH Zurich in 2015 – four in the biotechnology and pharmaceutical sector.1 Earlier ETH spin-offs highlight the profitability of these spinoffs from an industrial standpoint. Major life sciences companies often take over such spin-offs and benefit from their ideas and technologies.

BAK Quality of Universities Index The BAK Quality of Universities Index is based on the CWTS Ranking of Leiden and assesses the quality of universities in a given area. It is measured by the number of publications generated by a university in the fields of biomedical and health sciences and their citation frequency.

1

Source: ETH Zurich, 2016

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23

Source: CWTS Leiden Ranking, BAK Economics, 2017

121

Øresund

INNOVATION CAPACITY

LEVEL OF EDUCATION Share of gainfully employed (as %), 2014 41

Finland

41

Switzerland

38

Spain

37

France

36

Denmark

34

Austria

42

45

19 22

54

15

60

13

47

19 0%

15 39

44

27

Italy

13

48 23

32

Germany

17

46

20%

40%

34 60%

80%

100%

Tertiary Secondary Primary Possible rounding differences

Highly qualified workforce Employees’ qualifications are an important indicator of the competitive edge and innovative capacity of an economy.

For sectors with a high research and development activity, such as the pharmaceutical industry, professionals with tertiary education are particularly important.

In 2014, the proportion of tertiary-educated employees in Switzerland accounted for more than one third (38%) of all those in gainful employment, compared to just under one quarter in 2000. Employees with secondary education still represent the largest share with approximately 48 per cent.

Compared to other European countries, Switzerland has a high level of education.

24

PHARMACEUTICAL HUB SWITZERL AND

Source: OECD, BAK Economics, 2017

UK

“Within a few decades, the ZurichZug-Lucerne Area has grown to become a leading life sciences hub for all the research-intensive sectors, namely agrochemicals, biotechnology, medical technology and the pharmaceutical industry. In the life sciences sector sixty-five patent applications are filed per million inhabitants each year in the Zurich-ZugLucerne Area.�

Dr. Felix Howald, Director of the Central Switzerland IHZ Chamber of Industry and Commerce

ZURICH-ZUG-LUCERNE

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INWARD INVESTMENT FACTORS

26

PHARMACEUTICAL HUB SWITZERL AND

In addition to in-house variables, inward investment factors are also important for companies in order to optimise their economic activity. In the light of globalisation, inward investment factors are of increasing commercial importance.

The inward investment factor discussion can be viewed from two perspectives: Whereas hard factors such as taxation and regulation are mostly relevant for companies, other factors including the level of education and quality of life are more important for employees.

An improvement in regional location quality is therefore important in order to remain attractive for companies already settled or interested in settling in a given area as well as for highly qualified employees.

Various indicators from the areas of taxation, accessibility and regulation are considered on the following pages to evaluate the location quality of the Zurich-Zug-Lucerne cluster.

“The canton of Zug is home to more than 30,000 companies of various sizes and disciplines. Inter-company collaboration is vital in order to maintain and boost the innovative strength and productivity of the Zug economic area.�

Tanja SĂźssmeier, Branch Manager, Zug Chamber of Commerce

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INWARD INVESTMENT FACTORS

MARKET REGULATION

4.0

IT FR

3.0

FR

IT 2.0 DE 1.0 0.0 0.0

UK 0.5

1.0

FI DK

FI CH

UK

CH US

US 1.5

ES

DK

ES

DE

2.0

2.5

3.0

3.5

Source: OECD, Cato Institute, BAK Economics, 2017

LABOUR MARKET REGULATION INDEX

Product and labour market regulation index (0 = very liberal; 6 = strictly regulated), 1995 and 2015

PRODUCT MARKET REGULATION INDEX

2015 1995

Economy-friendly regulation State regulations can lead to high administrative costs or preclude market access. However, at the same time, regulations can also promote competition and economy-­ friendly structures. The intensity of (labour and product) market regulation therefore has a significant impact on the attractiveness of a location.

Generally, it should be noted that all comparative countries were regulated to less of an extent in 2015 compared to 1995. The international comparison of the way labour and product markets are regulated shows that Switzerland had a moderate level of regulation in 2015. Whilst the Anglo-Saxon countries in particular have an even more liberal market structure, regulation in Spain, Italy and especially France is essentially higher than in Switzerland.

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PHARMACEUTICAL HUB SWITZERL AND

BAK TAXATION INDEX Taxation of companies and highly qualified workforce, ø 1995–2017 New York Boston Munich

30%

London

20% 10%

SF Bay Area Paris Øresund

Zurich-Zug-Lucerne

Singapore

0% 0%

10%

20%

30%

40%

50%

60%

TAXATION OF HIGHLY QUALIFIED WORKFORCE

Taxation system as location advantage Taxation is one of the most important factors in international competition for business locations. This is because the tax system of an area is extremely important for both companies and employees alike. Switzerland and its areas have a competitive tax system.

Compared to other life sciences locations, the Zurich-ZugLucerne cluster has the second lowest taxation after Singapore, both in terms of corporate taxation and the taxation of highly qualified manpower. The area therefore offers an important advantage in terms of location.

Measurement of taxation (Taxation Index) Company taxation including all indirect company taxes and/or for a highly qualified employee earning 100,000 euros after tax.

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Source: ZEW, BAK Economics, 2017

TAXATION OF COMPANIES

40%

INWARD INVESTMENT FACTORS

DOING BUSINESS INDEX Maximum: Index 100, 2010 and 2015 Denmark UK Finland Germany Switzerland France Spain Italy 0

15

30

45

60

75

90

2010 2015

Competitive conditions In 2015, Switzerland ranked 26th2 in the Doing Business Index and was therefore in the middle tier of high-earning OECD countries. In terms of a European comparison, Switzerland ranked behind the Nordic countries and in front of the Southern European countries.

Doing Business Index The index ranks economies according to their ease of doing business. The higher the ranking, the more business-friendly the regulatory conditions are in terms of starting and operating a local firm.

2

Source: The World Bank, 2016

30

PHARMACEUTICAL HUB SWITZERL AND

Source: World Bank, BAK Economics, 2017

USA

GLOBAL ACCESSIBILITY Index (100 = ø of all areas inspected 2002), 2016 London

120

Paris

119

Zurich-Zug-Lucerne

112

New York

112

Munich

111

Boston

109

Switzerland

109

SF Bay Area

94 0

20

40

60

80

100

120

140

Excellent Global Accessibility Accessibility of production locations and markets plays a major role when choosing a business location. As various corporate processes often take place in different locations in the course of globalisation, international networking is particularly important.

Compared to international life sciences locations, the Zurich-Zug-Lucerne cluster ranks highly in the Global Accessibility Index with 114 points. This area offers excellent international accessibility thanks to its proximity to Zurich airport – one of Europe’s best airports.

Measurement of accessibility (Accessibility Index) Indexed value that quantifies the global accessibility of a region. It reflects the outbound accessibility from a region to locations in the rest of the world.

ZURICH-ZUG-LUCERNE

31

Source: TransSol, BAK Economics, 2017

114

Øresund

COMPANY PROFILES

AbbVie AbbVie is a global, research-based biopharmaceutical company dedicated to the treatment of serious, mostly chronic diseases. Research and innovation are the foundations on which its entrepreneurial activity is built. Treatment areas include immunology (rheumatology, gastroenterology, dermatology), virology (Hepatitis C, HIV / AIDS), nephrology, neurology (Parkinson’s disease), anaesthesiology and oncology. AbbVie has a strong pipeline in all phases and conducts clinical trials in Switzerland with a specialist team. As a global company with operations in more than 170 countries, they employ around 29,000 people. Around 150 highly motivated employees work at the headquarters of its Swiss branch in Baar (ZG). In 2017 AbbVie was recognised as a “Great Place to Work” by an independent institute, for the third time in succession. www.abbvie.ch

32

PHARMACEUTICAL HUB SWITZERL AND

Allergan Allergan is a globally active pharmaceutical company with headquarters in Dublin. It focuses on the development, production and marketing of drugs in the following therapeutic areas: central nervous system, ophthalmology, medical aesthetics and dermatology, gastroenterology, women’s health, urology, anti-infectives and medical devices. In the research and development sector, Allergan follows the “Open Science” model in order to identify and further develop pioneering innovations. This approach has led to a broad development pipeline with over 65 programmes in the middle to late stages of development. Allergan has over 16,000 employees worldwide and branches in almost 100 countries. Allergan AG Switzerland, which is located in Zurich, employs around 50 employees and also manages the operational activity of the Austrian subsidiary, PharmAllergan GmbH. www.allergan.ch

ZURICH-ZUG-LUCERNE

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COMPANY PROFILES

Amgen Amgen Inc., which is based in Thousand Oaks, California, was founded in 1980 as Applied Molecular Genetics Inc. and is one of the pioneers of industrial biotechnology. In 1989, Amgen established its European headquarters in Switzerland – and in 2002 the Swiss subsidiary followed.

Amgen is committed to researching the latest biomedical prospects for the benefit of patients with serious diseases. The focus here is on the development, manufacture and marketing of innovative therapeutics for human medicine. Using modern methods of gene technology, Amgen is working intensively on deciphering the complexity of diseases and understanding the fundamental principles of human biology. www.amgen.ch

34

PHARMACEUTICAL HUB SWITZERL AND

AstraZeneca AstraZeneca is a global biopharmaceutical company specialising in the research, development, manufacture and marketing of prescription medicines. With a turnover of around $23 billion (2016), AstraZeneca is one of the world’s leading pharmaceutical research companies. The head office of the British-Swedish group is located in Cambridge. The company employs around 120 highly qualified people in Switzerland in the Medical, Market Access, Sales, Marketing, Finance, Business Partnering and Human Resources fields. The most important therapeutic areas are cardiovascular diseases, metabolic disorders and cancer, as well as respiratory, infectious and autoimmune diseases. www.astrazeneca.ch

ZURICH-ZUG-LUCERNE

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COMPANY PROFILES

Bayer Bayer is a life sciences company with over 150 years of history and core competencies in health and agricultural economics. We develop new molecules to improve human, animal and plant health with innovative products and solutions. Our research and development is based on an in-depth knowledge of the biochemical processes in living organisms. The growing and increasingly ageing world population calls for constant improvements in medical care and adequate nutrition. Bayer improves quality of life by preventing, alleviating and curing diseases. And we help to ensure an adequate supply of high-quality food and animal feed and plant-based raw materials. Bayer employs more than 1,000 people in Switzerland today at its headquarters in Zurich and at other sites. www.bayer.ch

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PHARMACEUTICAL HUB SWITZERL AND

Biogen A pioneering biotechnology company, Biogen currently has the leading portfolio of medicines to treat multiple sclerosis (MS), the first authorised treatment for the management of spinal muscle atrophy and is spearheading research into new drugs for neurological and neurodegenerative diseases such as Alzheimer’s disease. The company also produces and markets biosimilars.

Biogen was founded in Geneva in 1978. The company’s international head office, the Biosimilars business unit and the Swiss subsidiary are located in Zug, where Biogen has a 400-strong workforce. In Luterbach in the canton of Solothurn, Biogen is currently investing one billion Swiss francs in the construction of a new, state-of-the-art bio­ pharmaceutical production facility. Production is scheduled to start in 2019 and up to 400 new posts will be created for highly qualified staff. www.biogen.ch

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COMPANY PROFILES

Bristol-Myers Squibb Bristol-Myers Squibb is a world-leading biopharmaceutical company that is focused on helping patients overcome serious diseases through the research, development and provision of innovative medicines. The company aspires to be a leader in its fields of research. In the fight against cancer, cardiovascular diseases and immune disorders such as rheumatoid arthritis, it is therefore striving to provide people all over the world with life-improving treatments through its medicines.

Bristol-Myers Squibb has already had a presence in the Swiss pharmaceutical market for more than 50 years and in view of the importance of the site nationwide, the Swiss subsidiary is closely involved in international research.

The company employs a total of 162 people in the Zug region. www.bms.ch

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Gilead / Gilead Sciences Switzerland Sàrl Gilead is a leading pharmaceutical company with headquarters in California, USA, which develops innovative medicines for life-threatening diseases. A major concern of Gilead is to provide patients with medicines that are highly effective and easy to use in day-to-day life, e.g. through the combination of several active substances in one tablet. The range of treatments includes, for instance, products for the treatment of HIV/AIDS, liver diseases and cancer. At the same time, patients in developing countries are given access to innovative medicines at affordable prices through Gilead’s ACCESS programme.

The company, with core competency in research and development and a correspondingly high-quality pipeline, has more than 9,000 employees worldwide. The Swiss branch based in Zug currently employs around 40 people. www.gilead.com

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COMPANY PROFILES

Janssen Janssen is a subsidiary of Johnson & Johnson and is one of the world’s leading research-based pharmaceutical companies with 40,000 employees worldwide and branches in around 150 countries. The marketing organisation, Janssen-Cilag AG, together with staff in the Supply Chain and Logistics sectors are located in the Swiss Head Office in Zug. A further four legal entities belonging to Janssen are also located in Switzerland, boasting a workforce of over 2,000. These are the Cilag AG production plant in Schaffhausen, the biotech company, Covagen AG, in Schlieren, Janssen Vaccines AG in Bern and, since June 2017, the Actelion Company in Allschwil. Janssen has been developing innovative therapies for over five decades and focuses on six treatment areas: Cardiovascular and metabolic diseases, immunology, infectious diseases and vaccines, neurosciences, oncology and pulmonary hypertension (high blood pressure in the pulmonary circulation). www.janssen.com/switzerland

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Lundbeck Lundbeck (Schweiz) AG is the subsidiary of the Danish pharmaceutical company of the same name and was established in 1948. The pharmaceutical company H. Lundbeck A/S is majority owned by the Lundbeck Foundation, which was established in 1954. The Lundbeck Foundation grants funds amounting to 60 to 80 million Swiss francs a year for independent research. Amongst other things, it awards the world’s biggest Brain Prize. The company H. Lundbeck A/S invests in the research of new medicines for the treatment of diseases of the central nervous system, such as depression, schizophrenia, Alzheimer’s dementia and Parkinson’s disease. Lundbeck is actively committed to improving knowledge about these diseases and their impact on the quality of life of patients and on those around them. The company employs 16 people in Switzerland. www.lundbeck.com/ch

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COMPANY PROFILES

Merck Merck KGaA with headquarters in Darmstadt, Germany, is a global pharmaceutical and chemical company with more than 50,000 employees in 66 countries. Healthcare is the largest division of Merck and is committed to the improvement of health and the development of new treatments. It focuses on highly specialised therapeutic areas, such as cancer, multiple sclerosis and infertility. Merck helps people who want to start a family, improves the quality of life for patients and helps to prolong life. The company employs more than 2,000 people in Switzerland at sites in Aubonne, Coinsins, Corsier-sur-Vevey, Eysins, Zug, Altdorf, Schaffhausen, Buchs and Therwil. While active ingredients for medicines are produced in Altdorf, among other things, the site in Zug serves as the sales organisation of the Healthcare Division in Switzerland. www.merck.ch

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MSD (Merck Sharp & Dohme) MSD is a world-leading biopharmaceutical company that has developed medicines and vaccines for the most challenging diseases for more than a century. MSD is the protected name outside of Canada and the USA of Merck & Co., Inc., with headquarters in Kenilworth, New Jersey, USA. Over 600 people work in research and development, production, global central functions as well as marketing for human and veterinary medicine at the Swiss headquarters in Lucerne. More than 70 branches in the European region, the Middle East, Africa, Brazil, India and China are supported from Lucerne. MSD plays an active role in clinical research in Switzerland where it produces medicines used in international clinical trials. MSD is locally involved in boosting healthcare in terms of competence and economy. In 2017, MSD was recognised as Switzerland’s “Top Employer” for the fifth time and as “Top Employer Europe” for the second time. www.msd.ch

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COMPANY PROFILES

Novartis Pharma Schweiz Novartis Pharma Schweiz is a subsidiary of the international Novartis Group. At its site in Rotkreuz, the company shares a modern office building with the two other Novartis divisions, Alcon and Sandoz. Novartis Pharma Schweiz is the largest of these divisions – and, in terms of sales, is also the largest pharmaceutical company on the Swiss market. The 260 or so employees of this business unit market the 100 plus prescription medicines of the Novartis Group in Switzerland. Key treatment areas include neurology, immunology and dermatology, ophthalmology, respiratory diseases, cardiology and oncology. www.novartispharma.ch

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Pfizer “Working together for a healthier world” – Pfizer follows this guiding principle worldwide. As a world-leading bio­ pharmaceutical research company, we are committed to improving the health and well-being of our patients at every stage in life, as well as combating and preventing some of the most serious diseases of our era. What’s more, we’ve been doing so for more than 160 years.

Pfizer has been based in Zurich, Switzerland, since 1959.

With around 200 employees, our scientific competence and our product portfolio comprising biopharmaceuticals, synthetic active substances, vaccines, foods supplements and health products, we make an important contribution to the prevention and treatment not only of widespread disorders, but also of rare diseases. www.pfizer.ch

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COMPANY PROFILES

Roche at the Rotkreuz site Roche Diagnostics International AG in Rotkreuz (canton of Zug) has been a leading international supplier of diagnostic system solutions for hospitals, laboratories and doctors’ surgeries since 1969. The company combines all of the central functions of the diagnostics business and belongs to the Diagnostics Division of the Roche Group.

Roche Diagnostics International AG employs over 2,600 employees from over 60 nations. Rotkreuz is home to the Centralised & Point of Care Solutions (CPS) sector – a leading international supplier of diagnostic analytical systems and workflow solutions for laboratories, hospitals and doctors. Global functions such as Solution Integration & Services (SIS) and Global Operations are located here together with the EMEA / LATAM sales region. Molecular Solutions, which develop molecular diagnostic reagents and test systems, are also located on this site. In addition, the Swiss sales organisation of Roche Diagnostics and Roche Diabetes Care operate from this base. www.roche.ch 46

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Shire in Switzerland Shire is the world’s leading biotechnology company in the field of rare diseases. We provide leading products and therapies for haematology, immunology, neuroscience, lysosomal storage disorders, gastrointestinal / internal / endocrine disorders and hereditary angioedema in over 100 countries. In addition, we have a strong innovative pipeline.

Shire is the fifth-largest employer in the Swiss pharmaceutical sector (2017: more than 1,100 employees). Zug is the home of Shire’s international headquarters and the Swiss branch. Blood coagulation factors are manufactured and exported worldwide in the state-of-the-art biotech production facility in Neuchâtel. www.ShireSwitzerland.ch

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COMPANY PROFILES

Takeda Takeda entered the Swiss market in 1986 under the name of Takeda Pharma AG. The Swiss branch is located in Pfäffikon, Schwyz, and has approximately 50 employees.

Their focus is based on the distribution and registration of products for the national market. In 2011, Takeda Pharma AG and Nycomed Pharma AG joined forces as part of a worldwide merger. The head office for Europe and Canada is based in Opfikon-Glattbrugg and has a workforce of around 450. The site co-ordinates activities with over 70 countries. Particular strengths lie in Asia, North America, Europe and the fast-growing, emerging countries such as Latin America, Russia / CIS and China. The main thrust is in the following areas: cardiovascular system, metabolism, oncology, respiration and immunology, central nervous system, general medicine and vaccines. www.takeda.ch

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Vifor Pharma The Swiss pharmaceutical company Vifor Pharma is one of the world’s leading companies in the research, development, production and marketing of pharmaceutical products for the treatment of iron deficiency disorders. Other core areas are nephrology and cardiorenal therapies. The international headquarters of the Vifor Pharma Group is in St. Gallen. However, the operating division is based in Glattbrugg, Zurich. Vifor Pharma also carries out chemical and biotechnological research in the Biotech Park in Schlieren, Zurich. Overall, the company has more than 1,100 employees in Switzerland, with approximately 300 in the Zurich Area. www.viforpharma.ch www.viforpharma.com

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GLOSSARY

ETH FSO GDP GVA ISIC

OECD

R&D

Swiss Federal Institute of Technology Federal Statistical Office, Switzerland Gross Domestic Product Gross Value Added International Standard Industrial Classification of All Economic Activities Organisation for Economic Co-operation and Development Research and Development

Information on areas Boston Boston-Cambridge-Newton Munich Munich Region New York New York-Newark-Jersey City SF Bay Area San Francisco Bay Area Demarcation of the life sciences industry The definition of the life sciences industry used in this publication includes the following ISIC branches: Pharmaceutical Industry (21), Electronic Medical Technology (26.6), Orthopaedic Medical Technology (32.5) and Research and Development on Biotechnology (72.11).  

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Publishing information Published by: Interpharma Association of research-based pharmaceutical companies in Switzerland Petersgraben 35 P.O. Box 4009 Basel Phone: 061 264 34 00 E-mail: info@interpharma.ch Website: www.interpharma.ch

The content of the publication can also be found on the Interpharma website at www.interpharma.ch. Graphics from the latest version may be downloaded for your free use provided the source is quoted.

Design: Continue AG, Basel Print: Gremper AG, Pratteln Deutsche Originalversion verfßgbar Š Interpharma, 2018 Photocopying permitted with acknowledgement of source

Interpharma Petersgraben 35, P.O. Box CH-4009 Basel Phone +41 (0)61 264 34 00 Fax +41 (0)61 264 34 01 info@interpharma.ch www.interpharma.ch