Wednesday, Jan 3, 1990
Marks FDA Division's First Electronic Filing -- January 3, 1990 --Genentech, Inc. today announced that it has acquired Boehringer Ingelheim's 50 percent ownership stake in Genentech Canada, a joint venture partnership formed by the two companies in November, 1984. Under the new agreement, which became effective December 29, Genentech Canada was dissolved and the assets and liabilities of the partnership were purchased by Genentech Canada, Inc.
"The full acquisition of this partnership represents Genentech's first major move toward geographic diversification and expansion. Genentech Canada is a sales and marketing organization which serves the important Canadian marketplace, and as such, is a valuable international asset," said James M. Gower, senior vice president for Genentech, Inc.
The partnership was formed to market and distribute pharmaceuticals produced by Genentech, Inc. Genentech Canada, Inc. currently distributes throughout Canada Protropin®, human growth hormone, for the treatment of children with growth hormone inadequacy and Activase®, tissue plasminogen activator, a clot-busting agent used in treating heart attacks. The partnership had estimated 1989 sales of $9 million (C) or $7.7 million (U.S.). With 22 employees, Genentech Canada, Inc. will continue under the leadership of Ian Temple, General Manager. Temple will now report to Gower in the United States.
Boehringer Ingelheim's role in the venture was to supply, through its Canadian pharmaceutical subsidiary, the clinical, regulatory and distribution expertise needed to successfully launch the products into the Canadian marketplace. Terms of the agreement were not disclosed.
"Boehringer Ingelheim has been important to us over the years and they continue to be our marketing partner for Activase in Europe and the United States," Gower added.
Increasing internationalization and expanding marketing opportunities in other countries have been long-range plans of Genentech's. Last April, Genentech opened a start-up office in Tokyo, the first step toward achieving a long-term goal of creating a fully-integrated research, manufacturing and marketing operation in Japan.
Genentech Canada, Inc. is a wholly-owned subsidiary of Genentech, Inc., which is a biotechnology company focusing on the development, manufacture and marketing of pharmaceutical products produced by recombinant DNA technology.
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