Glenmark Pharmaceuticals Ltd.

<body bgcolor="#FFFFFF" text="#000000"> In most European countries, the government remains the major provider of healthcare despite the fact that the private sector is also working towards the same cause for nearly the past decade. Notwithstanding introduction of the Euro and further moves towards the establishment of a single European market in pharmaceuticals, national policy initiatives [notably price control mechanisms] remain a huge factor governing individual market growth rates. For most industries, the European Union [EU] has transformed Europe into a single economic market. Trade and non-trade barriers have largely been eliminated; policies have been harmonised. With the introduction of the common currency, Euro, companies do not have to worry about dealing in different currencies and be subjected to significant exchange rate fluctuations. The authorisation procedure for approving medications through the Mutual Recognition Process [MRP] has helped in providing a single point of market entry into Europe for Generic pharmaceutical manufacturers. However this remains a very complex process. The new EU Pharmaceutical legislation includes many new initiatives and procedures and will begin to be implemented from later this year. Today, the European Union comprises 25 countries, which includes the 10 new members that joined it starting May 2004. Europe is also the second largest pharmaceutical market [combined] after North America, contributing 30% to the global pharmaceutical market in terms of value. The top markets in EU are Germany [USD 30 bn], France [USD 23bn], Italy [USD 14 bn] and UK [USD 13 bn]. The branded industry's reliance on blockbuster drugs and the impending patent expiry of many top brands, including biotechnology products, presents the generics sector with a multi-billion dollar opportunity in the near-term. Cost-containment pressures on healthcare services is leading healthcare providers and governments to increasingly adopt generic substitution and prescribing practices in many EU Member States, thereby boosting volume and value for the industry. Generic penetration is high in markets like Germany [27% by value], Netherlands [23% by value] and UK [18% by value] [Source: Espicom]. Other factors such as patent expiry of leading drugs and EU enlargement are intrinsic in the growth and expansion of the EU generics sector to 2007. Already generics account for 50% of all prescriptions and this is forecast to reach 75% by 2007. Some of the key markets in Europe are: Click the links below for information on the roles played by each office : United Kingdom Switzerland Glenmark Pharmaceuticals (UK) Ltd. [GPL, UK] was set up in 2004 to establish and expand Glenmark's business in the European Union. The subsidiary will spearhead Glenmark's activities in Europe and is currently developing the strategy and working on establishing the 'front end'. With UK as the headquarters, GPL, UK is exploring opportunities for partnerships with various European companies and establishing licensing and sales contracts. The subsidiary is also looking for appropriate opportunities for inorganic growth in Europe. GPL's European Generics' development pipeline includes certain niche/speciality areas such and dermatological products and other products where GPL has developed a unique position on IP, API or formulation technology etc. This combined with GPL's backward integration into APIs makes for a strong offering to European customers. GPL, UK is based in Slough and is ideally located in the Thames Valley with convenient access to London, rest of the UK and the European Union. The team is being expanded this year to include Regulatory Affairs, IP, Business Development and Sales professionals. In June 2004, Glenmark incorporated a wholly owned subsidiary Glenmark Pharmaceuticals S.A. [GPSA] in Switzerland. The company is headquartered in the Canton of Neuchâtel in Switzerland. Switzerland houses some of the worlds well known pharmaceutical companies and offers a large workforce of skilled pharmaceutical professionals. GPSA is building a pharmaceutical R&D establishment and a state-of-art R&D facility in Switzerland to tap the unique skill-sets that the nation has to offer. The plan envisages a small, highly skilled team of scientists and researchers in the next few years that will complement the skill-sets of Glenmark's scientific team in India. Another key role for GPSA is in the ownership and management of IP assets for Glenmark and its affiliates along with business development efforts and commercialization/ licensing of IP. GPSA will also act as a holding company and will manage the portfolio of group investments in subsidiaries, acquisitions etc for Glenmark. The canton of Neuchâtel is situated between Zurich and Geneva and houses several Pharmaceutical R&D and production companies. Several universities with programs for pharmaceutical research are established in the vicinity and offer good opportunities for recruitment and research collaborations. For details or inquiries - Glenmark, Switzerland: Email : switzerland@glenmarkpharma.com Contact : Mr. Achin Gupta [Director - Operations]. Address : Glenmark Pharmaceuticals S.A. 2nd Floor, Swisscom Building Rue de la Maladiere 23 2000 Neuchâtel, Switzerland Tel. : [+41-32] 7293550 Fax : [+41-32] 7293560 </body>