ASPEN PHARMA: Aspen Launches Africa-Leading Anaesthetics Production
Headquartered in Durban, global speciality and branded pharmaceutical company Aspen is celebrating a significant milestone in its decorated lifetime. At the South African plant where it performs the vital filling and packaging of the Johnson & Johnson Covid-19 vaccine, it has announced the opening of the southern hemisphere’s largest general anaesthetics manufacturing line, making its Eastern Cape facility one of the most advanced in the world today.
With an acknowledged, listed presence in the pharmaceutical sector of more than two decades and boasting a 170-year heritage, Aspen improves the health of patients in more than 150 countries across the world via a vast array of high quality, affordable medicines. Headquartered in Durban and boasting a strong presence covering both emerging and developed markets, Aspen focuses on marketing and manufacturing a broad range of post-patent, branded medicines and domestic brands.
These are delivered to hospital and consumer markets alike through its key business segments: manufacturing and commercial, pharmaceuticals, comprising regional brands and sterile focus brands. “Active at every stage of the value chain, we are uniquely diversified by geography, product and manufacturing capability,” states Christiaan Theron, Executive Head of SA Operations. “Our wide product portfolio of trusted brands spanning most therapeutic areas creates meaningful diversification.”
An almost exactly equal gender split comprises the nearly 10,000 employees who occupy Aspen’s 69 offices in more than 50 countries and territories, a staff group which Theron picks out for particular comment. “Our greatest strength is our diverse and talented team who work together every day,” he highlights, “united in our purpose to improve the health and quality of life of patients.
“In everything we do, we have one common goal – to deliver high quality, affordable medicines to the patients who need them.”
ANAESTHETICS ANNOUNCEMENT
In a move which will see Aspen relocate products generating R8 billion ($542 million) each year from Europe to its flagship manufacturing site in the coastal town of Gqeberha, the pharmaceutical giant has recently opened the southern hemisphere’s largest general anaesthetics manufacturing line, and one of the largest anywhere in the world.
Situated at the South African plant where Aspen currently fills and packages the Johnson & Johnson Covid-19 vaccine, having been proudly selected by two of its Janssen Pharmaceutical Companies, the additional production capability extends Aspen’s sterile footprint and complements the Group’s strategic vision of delivering quality, affordable medicines using high-technology pharmaceutical equipment, contributing to improved health outcomes for patients.
Aspen had already shifted the production of drugs for late-stage cancer, Parkinson’s disease and some auto-immune illnesses to the factory in 2018. The unveiling of the general anaesthetics line now follows swiftly on the heels of the visit by President Cyril Ramaphosa in March 2021, at the outset of production of the Johnson & Johnson shot.
This development at the Gqeberha factory, into which Aspen has invested more than R3 billion, will make it one of the largest production hubs for critical medicine in the world, the importance of which was not lost on CEO Stephen Saad. “This facility will help ensure no African is ever denied these treatments like anaesthetics and vaccines again,” he declared, “and we thank J&J for giving us the capability to create our own manufacturing facilities; as a result, we’ve been able to produce vaccines in Africa and now to also bring anaesthetics home.”
Sterile Focus Brands, comprising anaesthetic and thrombosis products, is one of Aspen’s key business segments and contributes 28% of its revenue. Aspen’s strategic decision to switch focus to production, rather than lower-value generic medicines, also served to pave the way for a push into vaccines. A key element of the company’s growth strategy is in identifying therapeutic areas both specialised in nature and a good fit with existing operations, Aspen details.
“In line with this strategy, we acquired the AstraZeneca and the GSK anaesthetics portfolios in 2017, which presented an opportunity to leverage both our existing sterile manufacturing capabilities and our hospital focused sales force. In November 2017, we acquired the remaining rights to the intellectual property and manufacturing know-how related to the AstraZeneca portfolio.
“We believe that increased control over the supply chain will enhance our ability to achieve manufacturing synergies and thus support earnings growth.”
CRITICAL MEDICATION
A diverse product range includes general anaesthetics, muscle relaxants as well as a number of local anaesthetics including topical agents. “From a business perspective, our anaesthetics portfolio and the combination of products makes Aspen probably the biggest manufacturer outside of the US,” Theron explains, “which status has been brought about by the combination of our diverse portfolios. For South Africa, it is a huge coup as it means that this Diprivan general anaesthesia will now be exclusively made in our facility down in the Eastern Cape.”
It is also hugely significant from a technological perspective, Theron reasons. “It means that our sterile facility is one of the most advanced that can be found anywhere in the world at this moment in time. It is also an opportunity to employ quite a few new people, and to create good value, fulfilling jobs, the bulk of which are taken by young graduates to work with the complex, technical equipment and processes installed here.”
This spirit of upskilling and uplifting the communities in which Aspen operates, and their people, is at the heart of the company. Its broad range of ‘We Care’ initiatives has been wide-reaching, from donations of hand sanitisers and vital face shields through its Ethicare division, to distributing much-needed relief in the form of food parcels to the elderly of Soweto impacted by the pandemic.
“We Care is an initiative that demonstrates our ongoing commitment to responsible corporate citizenship,” Aspen details. ‘We continually evaluate and invest in initiatives where we can contribute toward the improvement of disadvantaged communities or individuals in need of equal opportunities to foster an environment in which they can thrive and become active members of society. These efforts have proven to have reaching environmental, social, wellbeing and economic impacts.”
“The launch also marks something of a milestone in an investment sense,” Theron continues. “It is the completion, at this point in time, of the facility, and means that the last part of that build now becomes commercial. For us, it also marks the moment that it starts delivering on its original objective,” he explains. “The vaccine line was initially designated for anaesthetic production, but with the arrival of COVID-19 we were presented with both an opportunity, as well as a moral responsibility, to quickly change gears to address this most urgent of needs.
“The lines commissioned in October now become the first new lines on which we are launching this anaesthetics portfolio bought from AstraZeneca.”
The start of operations is also extremely well-timed to allow a continuation of Aspen’s pandemic services, with anaesthetics belonging to a fundamental class of drug, one of whose uses has been proven in supporting the treatment of COVID-19 patients on ventilators in intensive care units. “South Africa has to date imported the general anaesthetics needed in our healthcare system,” Minister Ebrahim Patel commented.
“The new production line will provide an important medical product for the local market, assuring security of supply, and the bulk of it will be exported across the world, contributing to global patient support.”
For Aspen, anaesthetics are centrally important to future expansion and progress, with revenue growing 21% last year to R8 332 million. The acquisition of the supply chain rights to the AstraZeneca portfolio will catalyse the process of repurposing and preparing further key sites in South Africa and Europe to drive the manufacturing transition of the greater part of this portfolio over the next three to five years.
“The opening of our general anaesthetics manufacturing line is a significant milestone for Aspen as it will serve as a crucial anaesthetics hub for this critical medication,” confirmed Stephen Saad. “This is one of the world’s largest general anaesthetics production lines and it positively positions Aspen’s integrated supply, marketing, and sale of anaesthetics globally.
“Our investment of more than R3 billion in this facility is the single largest investment in the pharmaceutical industry in the country and aligns with our commitment to supporting the industrialisation of South Africa.”