Invest in Finland

Finnish-Indian joint venture invests in pharmaceutical research companies 

07/11/2007

According to a press release on 22nd October by Finnish Bioindustries, Systems Biology Worldwide Oy (SBWW), a joint venture between the University of Helsinki and the Indian company Tooltech India Pvt Ltd., has acquired a majority holding in Novamass Analytical Oy, a contract research company located in Oulu, and all the shares in Toxis Oy, a contract research organisation based in Turku that provides a broad range of biological testing and non-clinical research services.

According to Finnish Bioindustries, the acquisitions are part of SBWW’s strategy of combining the best contract research services in Finland’s pharmaceutical sector to build a research organisation that covers the whole of the value chain while developing the commercialisation of academic research skills and know-how. In its press release, Finnish Bioindustries also said that for Novamass, the reorganisation is a significant step towards the company’s target of becoming one of the world’s ten largest pharmaceutical contract research companies by 2015.

Significant benefits to all parties

Quoted in the press release, Juho Eväsoja, CEO of Systems Biology Worldwide, said: “The business operations of Novamass and Toxis are complementary and form a highly-functional unit in the pharmaceutical research value chain. The products we create will also benefit from academic research being carried out by Novamass.”

Commenting on future developments and other possible mergers, Mr Eväsoja said SBWW’s intentions have been well received in the sector and that everyone involved understands how international considerations demand companies of increased size: “So that we can benefit from the know-how we have and capture those parts of the market that belong to us.”

Jouko Uusitalo, Managing Director of Novamass Analytical, said “SBWW’s strong academic links in both Finland and India strengthen our knowledge base and make it easier for us to adopt new technologies. Everyone involved is certain to benefit from the company’s increased size. We will be better placed to sell our expertise to large pharmaceutical concerns and control a significant part of the pharmaceutical research value chain.”

“Our service offering will expand significantly,” said Mari Madetoja, Managing Director of Toxis Oy. “Earlier, we have not been able to carry out certain specific routine development phases which belong to pharmaceutical research. Now we can have them carried out cost-effectively in India.”

Further information:

http://www.systemsbiology.fi

http://www.novamass.net

http://www.toxis.fi

Press release by Finnish Bioindustries (in Finnish):

http://www.finbio.net/download/lehdistotiedotteet/Tiedote161007ef8882.doc