Moscow, 27 April, 2010 - GE Healthcare, a unit of General Electric Company (NYSE: GE), and Nycomed today announced the signing of an agreement to form a joint venture for the local sales, marketing and distribution of GE Healthcare's medical diagnostic contrast agents in Russia and the Commonwealth of Independent States (CIS). The joint venture is expected to become operational during the second half of 2010, following the satisfaction of customary conditions.
The agreement further reinforces GE Healthcare's and Nycomed's commitment to local investment and growth in Russia and the CIS, and comprises the formation of a new Moscow-based sales, marketing and distribution company. The new company will sell, market and distribute GE Healthcare Medical Diagnostics' computed tomography (CT), x-ray and magnetic resonance (MR) contrast media products, which are used to enhance a physician's ability to distinguish structures and tissues in medical imaging.
"This joint venture, with such a strong partner in Nycomed, signals GE Healthcare's firm plans to grow in this important strategic market of Russia and CIS," said Reinaldo Garcia, President & CEO of GE Healthcare for Europe, Middle East and Africa. "It will bring GE Healthcare closer to its customers in Russia and is further demonstration of the company's commitment to the Russian medical and healthcare community."
Håkan Björklund, Chief Executive Officer of Nycomed commented: "With GE Healthcare we found an ideal partner and this joint venture offers an excellent strategic fit and further strengthens Nycomed's commitment to the Russia-CIS region. The investment underlines our belief in the long-term prospects of the healthcare market in Russia-CIS and optimally serving this market is vital for Nycomed."
GE Healthcare's contrast media products are currently marketed in Russia and CIS through a distribution agreement with Nycomed, and the new joint venture is intended to further enhance the presence of these key products on the Russian and CIS markets. It is expected that the new company will have around 40 employees in its Moscow offices and across the region it serves. Further details of the agreement were not disclosed.
The announcement from GE Healthcare follows the company's 2009 announcement that it is partnering to produce in Moscow, Russia's first locally assembled advanced 16-slice computed tomography (CT) scanner, and the inauguration in the city of GE Healthcare's advanced medical technology Training Centre for physicians.
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About GE Healthcare
GE Healthcare provides transformational medical technologies and services that are shaping a new age of patient care. Our broad expertise in medical imaging and information technologies, medical diagnostics, patient monitoring systems, drug discovery, biopharmaceutical manufacturing technologies, performance improvement and performance solutions services help our customers to deliver better care to more people around the world at a lower cost. In addition, we partner with healthcare leaders, striving to leverage the global policy change necessary to implement a successful shift to sustainable healthcare systems.
Our "healthymagination" vision for the future invites the world to join us on our journey as we continuously develop innovations focused on reducing costs, increasing access and improving quality and efficiency around the world. Headquartered in the United Kingdom, GE Healthcare is a $16 billion unit of General Electric Company (NYSE: GE). Worldwide, GE Healthcare employs more than 46,000 people committed to serving healthcare professionals and their patients in more than 100 countries.
For more information about GE Healthcare, visit our website at www.gehealthcare.com
For our latest news, please visit http://newsroom.gehealthcare.com
Nycomed is a privately owned global pharmaceutical company with a differentiated portfolio focused on branded medicines in gastroenterology, respiratory and inflammatory diseases, pain, osteoporosis and tissue management. An extensive range of OTC products completes the portfolio.
Its R&D is structured around partnerships and in-licensing is a cornerstone of the company's growth strategy.
Nycomed employs 12,000 associates worldwide, and its products are available in more than 100 countries. It has strong platforms in Europe and in fast-growing markets such as Russia/CIS and Latin America. While the US and Japan are commercialised through best-in-class partners, Nycomed plans to further strengthen its own position in key Asian markets.
Headquartered in Zurich, Switzerland, the company generated total sales of €3.2 billion in 2009 and an adjusted EBITDA of €1.1 billion.
For more information visit www.nycomed.com