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Pfizer to Start from Scratch

U.S. pharmaceutical giant Pfizer is likely either to build a plant in Russia or to buy a profile player. The analysts forecast Pfizer to follow the example of French Servier and construct a plant from scratch, as it will cost half as much to the company.
Launching local production appears rather attractive and expedient, Pfizer Russia chief Regis Lhomme told Interfax yesterday. The considered options are building facilities from scratch or buying a profile company.

The plant’s construction is the most probable choice because of high prices for existing production facilities and the need to invest in their upgrade and rebuilding, a Pfizer representative specified, promising to give detailed information in early August.

If the Americans finally decide in favor of construction project, Pfizer will be the second global pharmaceutical blockbuster building a plant in Russia. The pioneer is French Servier that completed construction of ?40-million plant in the Moscow region in summer. “But Pfizer’s appearance is the event of much greater extent, comparable to GlaxoSmithKline’s full-scale arrival in Russia,” said David Melik-Gusseinov, head of the market survey department at Pharmexpert.

According to market players, GlaxoSmithKline is currently negotiating the buy-out of Veropharm from 36.6 Pharmacy Chain and investors’ consortium led by Standard Bank.



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