The Aspen Ovestin sale will transfer European commercial rights to Ennogen Healthcare International for €197 million, while Aspen retains manufacturing and supply contracts. Wholly owned subsidiary Aspen Global will sell the commercialisation rights and associated intellectual property. The price equates to approximately R3.7 billion, with related inventory adding an estimated €4 million. However, completion depends on Ennogen’s funding arrangements becoming…
Tag: Pharmaceutical Manufacturing
-
Aspen Manufacturing to Drive 2027 Growth After mRNA Loss
Aspen manufacturing is expected to drive the group’s earnings growth in the 2027 financial year, as the company works to replace business lost when a major mRNA production contract ended. Aspen Pharmacare forecasts that manufacturing EBITDA will more than double this year, according to its 2026 integrated report. Sterile Operations Offset Contract Loss In the year to end-June, factory EBITDA…
-
JSE healthcare shares: Aspen leads gains
JSE healthcare shares have advanced this year, with Aspen Pharmacare’s recovery outpacing gains at Netcare and Life Healthcare. However, analysts say sustained growth will depend on manufacturing execution and hospital patient volumes. Aspen has gained about 40% since January and more than 60% over 12 months. At roughly R160 this week, its market value stood near R69bn. Aspen Leads JSE…
-
Aspen Bets Recovery on Filling Sterile Manufacturing Lines
Aspen Pharmacare’s turnaround now hinges on its sterile manufacturing, the costly network of injectable-drug plants it must fill. This follows last year’s collapse of a major mRNA contract. CEO Stephen Saad sums up the setback with a farmer’s phrase: “We lost the milk but not the cow.” The contract’s loss blew roughly R2bn out of the manufacturing division’s expected earnings.…
-
Pharmaceutical Manufacturing Crisis Deepens
South Africa’s pharmaceutical manufacturing crisis is growing as local producers lose government contracts and contend with rising costs. Stavros Nicolaou, chair of Pharmaceuticals Made in South Africa, says the Department of Health’s procurement policy is undermining the government’s localisation ambitions. He notes that officials award contracts to companies labelled as local suppliers. However, some companies import finished medicines rather than…
-
Pharmaceutical Localisation Talks Target Investment And Supply
Senior government officials and top leaders of the pharmaceutical industry have agreed to pursue closer cooperation. South Africa seeks to boost local medicine production and enhance supply security. On 18 August, the two parties met in Pretoria to talk about the immediate pressures facing the sector. They discussed the longer-term measures needed to support pharmaceutical manufacturing. Professor Nicholas Crisp, who…
-
Calls for Drug Company Nationalisation After Adcock Job Cuts
Calls for drug company nationalisation have been made by the General Industries Workers Union of South Africa (Giwusa). These calls follow plans by Adcock Ingram to retrench more than 240 workers. Giwusa president Mametlwe Sebei said South Africa’s pharmaceutical sector had lost about 2,500 direct jobs over the past 18 months. He noted that nine local manufacturing plants closed during…
-
Generic Drug Tariffs Could Raise US Medicine Costs
US President Donald Trump has announced steep tariffs on imported generic medicines. The move is designed to encourage pharmaceutical manufacturers to relocate production to the United States. Trump said generic medicines would remain tariff-free for two years from 1 August 2026. A 100% tariff would then apply for one year from August 2028. This would increase to 200% from August…
-
Aspen Semaglutide Canada Approval Clears Market Entry
Aspen Pharmacare has received Health Canada approval for Aspen-Semaglutide, its generic version of Novo Nordisk’s diabetes medicine Ozempic. Aspen, Africa’s largest pharmaceutical manufacturer, announced that its Canadian subsidiary had secured the regulatory authorisation. The medicine has been approved for the management of type 2 diabetes. The decision gives Aspen access to Canada’s expanding market for GLP-1 medicines. However, regulatory approval…
-
Aspen Chair Transition: Ben Kruger To Succeed Dlamini
Aspen Pharmacare chair Kuseni Dlamini will step down from the pharmaceutical group’s board in December 2026. Veteran director and former banking executive Ben Kruger will succeed him as chair. Aspen said Dlamini would not make himself available for re-election as a director. The company’s annual general meeting is scheduled for December. His departure will conclude a 14-year tenure on the…
-
SA Pharma Localisation Faces Foreign Investor Pressure
South Africa’s pharmaceutical sector has become a major industrial battleground. The government is pushing hard to localise production and boost public procurement. It also wants to rebuild domestic capacity. However, outside forces are complicating these goals. Trade, Industry and Competition Minister Parks Tau delivered this warning at a recent stakeholder engagement. He noted that foreign investors remain highly interested in…
-
Biovac Vaccine Tender Secures Critical R5.3bn State Contract
The Biovac Institute has retained a critical contract to supply the South African state with Hexaxim. Hexaxim is the six-in-one shot provided to infants in the national childhood immunisation programme. The R5.3bn award was announced in the Department of Health’s next three-year national vaccine tender. This tender is set to begin on January 1, 2027. This contract is vital to…