Troubled Finnish group Orion has decided to close down its pharmaceutical manufacturing operations in Denmark in a bid to save money.
The company recently announced a major restructuring exercise that will see it focus exclusively on pharmaceuticals, after a period in which earnings at its drugs business have been squeezed by the introduction of generic prescribing in Finland. In May, Orion dropped plans to set up a pharmaceutical research company and slashed its R&D budget after it was hit by the failure of anxiety drug deramciclane in Phase III trials.
"The pharmaceutical operations of Orion's Danish subsidiary Orion Pharma (former Ercopharm) will be closed in the beginning of next year," said Orion in a statement. The plant in Denmark is the only one Orion operated outside Finland and manufactures tablets for hormone replacement therapies. These will now be produced at the firm's plant in Turku, Finland.
Two-thirds of Orion's 100-strong Danish workforce will lose their jobs, primarily those in production, quality control and support roles.
Orion's new focus on pharma means that is concentrating on the further development of its recently launched heart failure drug Simdax (levosimendan) and entacapone for Parkinson's disease. The firm also operates a veterinary division, makes generics and has a manufacturing business (Fermion) specialising in active pharmaceutical ingredients.