Carbogen Amcis to restructure ops and cut staff

By Gareth Macdonald

- Last updated on GMT

Related tags: United states dollar

CMO Carbogen Amcis will restructure its Swiss manufacturing operations and cut jobs to combat “inadequate profitability” in a new plan announced late yesterday.

In future the active pharmaceutical ingredient (API) maker will focus operations at its Aarau site on development projects and shift pilot production for early-stage compounds to its facility in Huzenschwil.

Large volume production for both standard APIs and highly active agents will continue at Carbogen’s facility in Bubendorf in northern Switzerland.

The firm, which employs 350 people, said the restructuring move will cost around 60 jobs but added that its does plan to begin hiring additional staff at the Huzenschwil plant.

Carbogen said “[It is] forced to take this step on the grounds of the inadequate profitability brought about by the strong Swiss franc and the delayed effects of the financial crisis,” ​but did not respond’s request for more information.

The news follows just a week or so after the Swiss contract manufacturing organisation’s (CMO) parent Dishman reported a 94 per cent fall in net profit to INR17.4m ($380,000) for the third quarter ended December 31, 2010.

Dishman, which saw turnover increase 4.26 per cent for the same period, attributed much of its earnings to Carbogen’s “lower than expected performance” in a statement reported by OneIndia News​.

Company CEO JR Vyas told the newswire that: “We have chalked out a comprehensive business restructuring plan for Carbogen. The company CEO has been fired for poor quarter-on-quarter performance and I have taken over the charge​."

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