Boosting R&D – Imexpharm’s ambition to enter the global pharmaceutical supply chain

Spreading carpet to welcome talents

Recently, Imexpharm Pharmaceutical Joint Stock Company has cooperated with Can Tho University of Medicine and Pharmacy to organize a career counseling workshop on production and drug quality management for pharmacy students in 2024. Prof. Dr. Nguyen Trung Kien, Rector of Can Tho University of Medicine and Pharmacy, said that Imexpharm is currently recruiting many medical and pharmaceutical students, about 20%  of whom are Can Tho Medical and Pharmaceutical students working at the company.

As a recruiter, Dr. Nguyen Vinh Luan, Human Resources Director of Imexpharm, said, “At Imexpharm, people are always the key factor for the company's development and success. At present, Imexpharm is fortunate to have the top talents in the pharmaceutical industry of Vietnam. The company  consistently invests in human resources at all levels to ensure a talented leader team, an excellent scientist team  along with an excellent operational, sales and marketing team, all to drive the business forward”.

From the early days of establishment, with only a few dozen members in Dong Thap whose main job was to receive and distribute medicine during the subsidy period, Imexpharm's R&D department nowadays has grown strongly. Today, 80% of Imexpharm’s staff hold university degrees or higher, including 4 Masters of Pharmacy, Specialist Pharmacist level I and 1 Doctor of Pharmacy graduating in France. Attracting young scientists to create a strong research foundation has been Imexpharm's orientation for many years. Simultaneously, Imexpharm has always been a pioneer in developing and applying new technology to produce high-quality pharmaceuticals that meet international standards.

In 2023, Imexpharm allocated 5% of its revenue on R&D activities. Up to date, Imexpharm has become a pharmaceutical company owning the largest EU-GMP factory clusters in Vietnam with 3 EU-GMP factory clusters and 11 EU-GMP lines. This investment has positioned Imexpharm as the top producer of antibiotics in Vietnam. Notably, the world's advanced Enzymatic technology has been applied by Imexpharm to produce high-quality, safe and effective antibiotics.

Continuously successful in many research and development projects, the company currently holds more than 333 products licensed for commercial use in Vietnam. In 2023, Imexpharm secured 11 additional registration numbers for 6 products in Europe, including complex products such as Ampicillin/Sulbactam, bringing the total number of Marketing Authorizations in Europe to 28 for 11 types of products.

Great advantages of R&D

With the strategy of building EU-GMP-standard factories and prioritizing scientific research, Imexpharm has gained a leading competitive edge over domestic pharmaceutical companies. It has also positioned itself to a "golden development" period to compete with multinational giants.

PwC predicts that the total directly added value from the pharmaceutical invented drug industry can grow at a compound rate from 15%  to 20% in the period from 2022 to 2040, contributing from 3.3 USD to 7.4 USD billion to the economy by 2040. Technology is posed to accelerate this growth rate, thereby quickly elevating the country's position on the world pharmaceutical map.

In 2023, Imexpharm has 93 R&D projects, with 15 products have been launched on the market, enhancing its portfolio of new pharmaceutical products. The company is also planning to expand its Non-Antibiotic product sector, with a plan to build the IMP5 factory, which will produce new product lines including drugs for cardiovascular, diabetes, otorhinolaryngology, coughing and digestion diseases... Producing specialty drugs locally, as Imexpharm does, increases consumers' access to drugs that were previously only available through imports.

In the first half of 2024, Imexpharm (IMP) reported net revenue of VND 1,008 billion, up 10% year-on-year. Pre-tax profit and EBITDA reached VND 161 billion and VND 215 billion, with a stable EBITDA margin of 21%.

This strong growth momentum continued to be clearly evident in July 2024, when Imexpharm's net revenue reached VND 159 billion, an increase of 28% compared to the same period last year. The ETC channel continued its solid growth, while the OTC channel showed a strong recovery with impressive growth rates of 63% for OTC and 23% for ETC. July marked the most impressive growth period of the year amid market volatility.

Notably, the Board of Directors of Imexpharm Corporation (stock symbol IMP - HOSE) has just announced that September 18 will be the closing date for the list of shareholders eligible to receive shares from the capital increase. The upcoming issuance of more than 77 million shares at a 1:1 ratio will raise Imexpharm’s charter capital.

Recently, Imexpharm has joined hands with South Korea’ Genuone Sciences in drug registration, manufacturing and distribution, alongside advanced technology transfers. This partnership follows many previous collaborations with global pharmaceutical corporations such as Sandoz, Sanofi-Aventis, Pharmascience, DP Pharma...

Production experience together with EU-GMP standard lines has equipped Imexpharm with outstanding production capabilities and the ability to meet international quality standards, opening up opportunities to participate in the global drug supply chain. With European quality products, Imexpharm has successfully penetrated to new markets such as Mongolia and secured export contracts to other markets such as Singapore, Malaysia, Philippines, etc.

These strategies not only lay the foundation for the 2030’s vision of tripling revenue but also consolidate Imexpharm's position in the global market. At the same time, these orientations also align with rising demand for high-quality treatment solutions in Vietnam and the region. “Research and development are the driving forces behind innovation and medical advancement to improve the quality of public health. To fully capitalize on growth opportunities of the pharmaceutical industry, the Government needs to reform necessary policies and establish implementation directions in many domains, from investment incentives, legal frameworks to education and training programs,” said Imexpharm General Director.