Biopharma company Biovitrum has purchased iNovacia making it the Nordic region's largest contract-research organization (CRO) in early drug discovery.
Outsourcing in the Nordic region, particularly in the drug discovery sector has not been without its difficulties. Traditionally the Nordic high-salary environment has taken a backseat to Asia and its primarily low-cost area.
For Biovitrum, the formation and spin-off of existing company, iNovacia offers an opportunity to secure regional access to key technical expertise for early drug discovery projects.
"As an independent company, iNovacia will have the possibility to further develop within the CRO sector," said Biovitrum's CEO Mats Petterson.
"Biovitrum, as a customer, can continue to efficiently operate early-stage pharmaceutical projects of high quality."
The market for contract research in the pharmaceutical industry is undergoing strong growth internationally and opinion is divided on which country will represent the next big market in outsourcing.
As well as the Nordic countries, the Netherlands, with its huge pension fund industry is frequently mentioned and is even a topic of conversation in ultra-conservative and protective Switzerland.
As evidence of the burgeoning Nordic market, >iNovacia has secured assignments from partners outside the Nordic region, entering into alliance with Asinex, a company within the pharmaceutical chemicals sector.
With principal operations in Moscow, Asinex will hold approximately 20 per cent of the shares of iNovacia.
Through the alliance with Asinex, iNovacia gains access to a chemical library of top international ranking and a competent partner for the development of new chemicals.