Hikma Pharmaceuticals

1 Overview

Founded in Amman, Jordan in 1978 by the current Chairman, Dr. Samih Darwazah, Hikma has steadily evolved as a leading multinational pharmaceutical company, with a steadfast reputation for quality. The company’s initial focus was on developing a branded pharmaceuticals business across the Middle East and North Africa (MENA) region. However, in the early 1990s, Hikma acquired a generic pharmaceuticals business in the USA and established an injectable pharmaceutical operation in Portugal, thereby expanding the company’s outreach beyond the MENA region. The company has since continued to expand significantly, through organic growth and acquisitions.

Mr. Mazen Darwazah, Mr. Said Darwazah and Dr. Samih Darwazah

2 Mission

Hikma feels committed to improving people’s lives. Their existing products, and pending approvals across markets, shall provide patients with better access to high-quality, cost-effective medicines in key therapeutic areas.

3 Vision

Hikma has the vision to build a world class and leading specialty pharmaceutical company, with a presence across the globe. Through organic growth and strategic acquisitions, they aim to develop the business and maintain the high standards of ethics and responsibility that are central to the way Hikma operates.

4 Strategy

Hikma continued its track record of doubling sales every 4 years, while at the same time achieving a number of strategic milestones, due to its global workforce and diversified business model. Core to Hikma’s business, is a commitment to quality, which is fulfilled by a strategy based upon the following priorities:

• Strengthening the leading position in the MENA region

  Hikma achieved success in a very challenging economic and geopolitical environment. This success demonstrates the robust nature of the business, the strength of its diversified business model, a real commitment to delivering core strategic objectives and the dedication of its employees.

  As the leading regional pharmaceutical company in MENA, Hikma is uniquely positioned to take advantage of this consistently fast-growing and attractive market. One key differentiator is the ability to act locally, through establishing strong pharmaceutical businesses in each of the countries in which they operate – building local manufacturing facilities in some, investing in local sales and distribution capabilities in others, and across all countries, developing a skilled and experienced workforce.

  A strong local presence played a significant role in the ability to tackle the headwinds created by the Arab Spring. The rapid and effective response by local management teams, and the dedication and perseverance of employees in the region, enabled them to quickly stabilize operations in the MENA. Their commitment to building the business in the region, meant that they need to continue to make significant investments to enhance and expand MENA manufacturing facilities, resulting in increases in local production capabilities in Egypt, Tunisia and Algeria. Investments in people, through improvements to salaries and employee benefits, led to stronger and more capable operational and sales and marketing teams.

• Developing a global product range in growing therapeutic areas

  The continuous introduction of new products in growing therapeutic areas is critical to the growth and profitability across the business. Hikma’s product portfolio continued to expand by adding new products and new dosage forms and strengths to the Group portfolio through R&D efforts and acquisitions. They focused on developing the cardiovascular, diabetes, central nervous system (CNS), oncology and respiratory portfolios, particularly in the MENA region.

• Leveraging their expertise and capacity in the US market

  The oral generics segment of the US market remains extremely competitive, requiring the pharmaceutical company to maximize its product portfolio potential, focus on driving efficiencies and on finding new, differentiated opportunities. A greater volume in core products was witnessed and an increase in market share in terms of prescriptions written.

  As for the injectables market, Hikma has become the second highest provider of injectables in the US. They continued to invest in the development of more differentiated products for this business. This investment is expected to deliver interesting opportunities in 2013 and 2014, and this year’s priority is to enhance the efficiency and competitiveness across all divisions.

5 Hikma Chemicals active pharmaceutical ingredients (APIs) plant overview

Hikma Chemicals is one of Hikma Pharmaceuticals’ several plants that are located worldwide. It was established in 1992, by an unprecedented idea from Dr. Samih Darwazah to become the first Arab manufacturer of APIs in the Middle East. The plant strategy is to synthesize high value versus low quantity APIs; such as prednisone anhydrous and cortisone acetates, glycopyrrolate, enalaprilate, oxandrolone, zoledronic acid monohydrate, prifinium bromide, ondanestron hydrochloride, nicardipine hydrochloride, atracurium besylate, benzotropine, milrinone, etc. Hikma Chemicals has a well established quality and regulatory system, which led to several remarkable and successful USFDA inspections, such as those that took place in 2008 and 2012. Thorough USFDA audits were undergone at the Chemicals site for several days in 2012, and an impressive and successful “no observations” result was achieved.