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Greater Richmond Partnership, Inc.

Nicole M. Colomb

Consultant-Life Sciences, Business Development

(804) 828-6884

ncolomb@vabiotech.com


901 E. Byrd St.

Richmond, VA 23219-1234 
(804) 643 3227
(800) 229 6332

 

 

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Virginia Biotechnology Research Park: Transforming Innovation into Opportunity

 

American Institute of Chemical Engineers-Tidewater Chapter

 

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Feature Article

 

Coping with Complexity

 

Pharmaceutical compounds are getting larger and more complicated. Boehringer-Ingelheim's R&D shop in Richmond figures out how to process them more efficiently.

 

 

On the third floor of the Biotech One building at the Virginia BioTechnology Research Park in Richmond, Va., Dr. Jack Brown skims over the screen of his desktop computer. He’s illustrating a point crucial to the pharmaceutical industry and, in particular, to his company, the German firm of Boehringer-Ingelheim, the 14th largest drug maker in the world.

 

New drugs are becoming more complicated and difficult to mass produce. By way of comparison, Brown nods at the screen showing the chemical formula for AZT, a pioneering drug introduced in the early 1990s to fight the alarming and then relatively new AIDS virus. AZT was considered a major advance at the time, and its formula shows a series of rings typically associated with organic chemistry.

 

Next, he flips onto the formula for a newer drug, called a fusion inhibitor that was developed a decade later to prevent the AIDS virus from spreading by preventing it from linking with cells. Its much longer formula looks like a length of crochet, perhaps 15 times the size of the AZT formula. “This one has 109 chemical step processes while AZT has two,” he says.

 

Brown’s point is that the ever-growing complexity of new drugs is a big challenge for Boehringer-Ingelheim, a privately-held, family-owned company. The Virginia BioTechnology Research Park plays a major role in Boehringer’s drug making by helping the firm prepare its products for market in ways that are safe and cost-effective. The park houses several offices and laboratories for its chemical, pharmaceutical and veterinarian drug divisions. They help prepare new drugs for clinical trials and provide research and development services for Boehringer’s large production facilities in Petersburg.

 

Complexity is important to Brown, manager of process development for Boehringer-Ingelheim, because rather than coming up with the new drugs themselves, BI’s Virginia group takes drugs originating in other Boehringer labs, usually in Europe, and finds ways to put them into tablet or injection forms that can be mass produced. The task is difficult because the 13 scientists in Brown’s lab, along with specialists in other Richmond-Petersburg units of Boehringer, must find ways to make pills that are environmentally safe and cheap enough to mass market. “For us to supply drugs economically is very challenging,” says Brown, who has a Ph.D. in chemistry.

 

To supply drugs in bulk, Boehringer’s Virginia contingent makes sure that the coatings surrounding each tablet are of the right, time-release consistency so they enter the patient’s bloodstream in the right part of the body. Any additives must be safe for patients, and they must be cheap enough to offset the costs of the drug itself. The simple aspirin table, for example, may weigh 1 or 2 grams, but has only 500 milligrams of aspirin. The rest of the tablet consists of additives such as starch, Brown says, to make sure “it is released in the lower gut as intended for pharmaceutical purposes.”

 

All in all, Boehringer has about 380 employees in the Richmond area. In 2003, Gov. Mark Warner traveled to the company’s headquarters in the city of Ingelheim and announced the firm will expand its manufacturing capacity at the Petersburg manufacturing facility. The new investment, aided with a $1.75 million grant from the Governor’s Opportunity Fund, could reach $260 million and employ 165 more workers by 2011.

 

The chemical company also has qualified to win a $3 million grant from the Virginia Investment Partnership. Not only does the Petersburg facility prepare proprietary drugs for the mass market, it makes huge vats of other drugs for sister pharmas. The plant, for instance, produces a drug called Guaifenesin that is a key ingredient for the familiar, over-the-counter cough-syrup Robitussin, produced by Wyeth Pharmaceuticals.

 

Following the Petersburg expansion, the group at the Virginia BioTechnology Research Park is due for some kind of growth since its work load will increase. Brown says expansion details are still being worked out.

 

A key reason for Boehringer's keen interest in Virginia is its location in the vital American market. As the company’s annual report notes, “The U.S. is assuming an increasingly important role as the driver of business development. Germany, although it continues to play a central role in terms of research and production, primarily for the company’s foreign business, is, on the other hand, witnessing rapidly declining significance as a market.” Boehringer-Ingelheim has annual sales of $10.1 billion, of which $7.6 billion are pharmaceuticals. About 60 percent of the drugs are sold in the U.S.

 

“The company is held in very high repute because of its biologics manufacturing,” says Gil Y. Roth, editor of the trade journal "Pharma." While the firm is in the second tier of drug makers, Roth says its products do well on world markets.

 

The Richmond R&D facilities are well-located, according to Brown. While Boehringer’s North American’s headquarters are in Ridgefield, Conn., near the global crossroads of New York, Virginia operations are close to the Research Triangle in North Carolina, and the University of Virginia. Labs around Washington, D.C., and points north also are near at hand. Being so close to the Virginia Commonwealth University Medical School and other lab workers in the biotech park is a major plus, Brown says, because scientific libraries are a walk away, clinical tests can be conducted at VCU, and workers from other biotech labs in the park can make a quick trip to Shockoe Slip or Bottom to talk shop at lunch or after work. Talking shop among peers is a crucial facet of exchanging ideas.

 

Brown’s Richmond lab is working on some major new drugs for Boehringer-Ingelheim, whose best known products include the prostate-cancer fighting drug known as Flomax which had sales last year of $913 million, according to “Pharma.” The next best selling drug is Mobic, used to treat rheumatic disease, followed by Micardis for hypertension.

 

Typically, Boehlinger releases its drugs first in Europe and then in the U.S. which represents about 60 per cent of Boehringer’s total sales. The company’s goal is to eventually make drugs in the U.S. so as to avoid import duty fees.

 

Right now, the company is gearing up for U.S. production of Tipranavir, which is being manufactured in in Europe already. The drug, one of a line of Boehringer products used to fight the AIDS/HIV virus, is a protenase inhibitor that interferes with the development of the AIDS virus from a juvenile to its deadly adult state. Says Brown: “Our role is to make sure that the manufacturing process goes smoothly.”

 

Another in the drug family used against AIDS is Viramune, which had sales last year of $350 million. The drug, which helps prevent the spread of AIDS from an infected mother to her child, was discovered at Boehringer’s Ridgefield labs and then introduced in Germany about 10 years ago. “Boehringer gives a lot of that away in Africa,” says Brown. Now, the company is ready to launch a more advanced AIDS medicine called Aptivus.

 

The Richmond units also work on drugs related to combating Hepatitis C, an even bigger killer than AIDS. Brown notes that while 50 million around the world might be infected with AIDS, about 150 million have Hepatitis C. “Without treatment, many often die of cirhossis of the liver or liver cancer,” he says. The Hepatitis C drugs are still in clinical trials and Brown declines to give more details about them.

 

Brown says he’s happy to be in Richmond, where Boehringer has had a presence since 1976 as part of a venture with the now-defunct drug maker A.H. Robbins. His company’s expansion means there will be plenty of work in the future.

 

The park is growing as well. Brown notes that just outside his window is the site of the new $300 million Philip Morris research facility that will greatly expand the park by adding more than 500 jobs in about two years. With Philip Morris helping anchor the park, even more jobs are likely to be attracted.

 

Richmond offers other benefits of a more intangible nature, says Brown, who hails from Idaho came to the area three years ago. Prior to that, he worked for 17 years with Roche, the Swiss drug maker, at a research facility in Boulder, Col. The proximity to the Rocky Mountain ski slopes was a big plus. But Boulder, being a university town, fostered political correct attitudes that made it hard for Brown to admit at social events that he worked for a chemical company. “Here in Virginia, they understand that this is a necessary undertaking.”

 

Boulder was a long drive from any academic center outside of Denver, Brown adds. From Richmond, he can be in a variety of scientific hotspots in a few hours.

 

What’s more, living in the Richmond area is less expensive than pricey Boulder and leading drug-making areas such as Boston, New Jersey and San Francisco. As Brown notes, a number of major drug companies are downsizing and Richmond’s favorable cost of living can be a pretty good insulation against potential layoffs. The trend at Richmond’s BioTechnology Research Park is contrarian – adding jobs rather than losing them.

 

-- August 26, 2005

 

 

 

 

B.I. Facility in Petersburg

 

 

Useful Links

 

Boehringer-Ingelheim home page

 

Boehringer-Ingelheim in Virginia

 

 

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