EVENTS | VIEW CALENDAR
CBI integrates drug discovery businesses
RICHMOND, Va.óLooking to create some synergies and spur growth, Commonwealth Biotechnologies Inc. (CBI) recently completed a company-wide reorganization aimed at realigning its sales and marketing capabilities with its newly integrated suite of drug-discovery products and services following the successful acquisitions of Mimotopes Pty. Ltd. and Exelgen Ltd. (formerly Tripos Discovery Research Ltd.) earlier this year.
The reorganization is designed to maximize the revenue and cost synergies from these acquisitions and boost profitability across the company. Entering into 2008, cost synergies, through targeted redundancies and salary savings, will generate annual savings of $1.6 million.
Furthermore, the reorganization of its sales and marketing team is expected to provide the global drug discovery market, estimated to be worth $7 billion by 2009, with a one-stop-shop for preclinical products and services in small molecule, peptide and biologics development.
"Our focus on financial discipline and a competitive cost base remains a priority, and we will continue to seek ways to refine our organizational structure and business portfolio," CEO Paul D'Sylva said. "However, the primary purpose of this reorganization is to position our company for continued growth in a sustainable and profitable format by aligning its sales expertise with its new portfolio of products and services."
Richard Freer, CBI's chairman and COO says: "These changes demonstrate management's commitment to the integration of our drug discovery businesses."
CBI now operates four distinct business units: CBI Services, a discovery phase contract research organization; Fairfax Identity Laboratories, a DNA reference business; Mimotopes, Melbourne, Australia, a peptide and discovery chemistry business; and Exelgen, Bude, U.K., a medicinal and synthetic discovery chemistry business.