Egis inaugurates R&D center, enters strategic partnership
Hungary’s government signed a strategic agreement with France-based pharmaceutical producer Egis on Monday; Foreign Trade State Secretary Péter Szijjártó and Egis CEO István Hodász served as signatories. Hodász said the strategic partnership was based on cooperation that is advantageous to both parties.
“Pursuant to the agreement the government is ready to encourage innovation and R&D activities of Egis in Hungary with the available means....In addition, the agreement also addresses the strengthening and the promotion of exports of own products manufactured in the plants of Egis located in Hungary,” Egis said on the website of the Budapest Stock Exchange.
At the same time, Egis inaugurated a HUF 4.6 billion R&D center in the capital.
Egis said the center would allow it to develop “cutting-edge,” “high-potency” active ingredients. It received HUF 1.15 billion in European Union and state support for the investment.
Egis is indirectly owned by France-based Servier. It has in its drug portfolio some 530 products and about 120 active ingredients. The company produces almost 140 million boxes of medicine a year.
About 80% of Egis’s more than HUF 130 billion of annual revenue comes from exports. On the domestic market, Egis is the third-biggest player, based on sales volume.
Egis spends about 9% of revenue on R&D, employing almost 4,000 worldwide. Egis has production bases in Budapest and Körmend.
The list of companies having entered into a strategic partnership agreement now includes Coca-Cola, Alcoa, Daimler, Suzuki, Hankook, General Electric, Microsoft, Stadler Rail, Tesco, IBM, Tata Consultancy Services, Nokia Siemens, National Instruments, Audi, Jabil Circuit, Continental, Dalkia, Lego, Teva, Sanofi, Bridgestone, Siemens, Denso, Ericsson, Bosch, Telenor and Phoenix Mecano, as well as with Hungarian drugmaker Gedeon Richter and road haulage company Waberer’s, Chinese ICT company Huawei Technologies, Canada’s Linamar and Tata Consultancy and CG Electric of India.
The government expects to sign more than 50 such agreements.
Egis to invalidate unsubmitted shares
Egis on Monday said any of its shares that were not submitted in a squeeze-out ended November 29 would be invalidated as of December 11, 2013.
Arts et Techniques du Progrès, a wholly-owned unit of Servier, exercised its right to squeeze out the remaining shareholders of Egis after raising its stake in the company from 50.91% to 96.43% in a public purchase offer ended November 5. The squeeze-out started on November 18.
Invalidated shares will be replaced by newly issued ones, giving Egis sole ownership of Arts et Techniques du Progrès.
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