biocon & ms.shaw

THE BIOCON STORY

India’s Leading Biotech enterprise

Established in 1978

Focus on development of Biopharmaceuticals

1 st in Asia & 16 th in world in terms of revenue and market capitalization

Syngene, India’s first biotech custom research company in drug discovery

First company to manufacture human insulin using a Pichia expression system

India’s first billion dollar biotech company

Products include: Biopharmaceuticals Anti-Diabetic Agents Anti-Hypertensive Agents Anti-Inflammatory Agents Antioxidants Cardiovascular Agents Digestive Aid Enzymes Haemostatic Agents Hepatoprotective Agents Immunosuppressants Nutraceuticals Enzymes Amylases Cellulases Esterases Glucanases Hemicellulases/Xylanases Oxidases Pectinases Proteases Tannase

Born on 23 March 1953 in Bangalore

B.Sc Zoology from Bangalore university 1973

Master brewer from Ballarat University in Melbourne 1975

Trainee brewer in Carlton & United Beverages in 1975-77

First Indian woman brew master

Joined Biocon biochemical Ltd. Ireland in 1978

Dr. Kiran M. Shaw In 1978 founded Biocon India

The journey begins…

Collaborated with irish firm Biocon international

Kiran owned 70% and Auchinloss (biocon int.) owned 30% of equity

Started Biocon India from her garage.

Initial Capital Rs/- 10,000.

Started extracting enzyme (papain) from papaya & isinglass (fish moss)

Export to irish firm

Novel product patenting

e.g: Enzyme to clarify tea

Early Hurdles:

Financing regular operations

Approached financial institutions, but turned down, coz:

Biotechnology is a new word

No assets for company

Woman entrepreneur is a rare word

Recruiting staff

Only well qualified people

In 1985,

Employees join communist labor union

Kiran automated the whole plant

Early years

Started with loan from KSFC

Proactive scientific interest

Building up germplasm of tropical m.o (Biodiversity)

Doing research on the metabolites of these m.o

Did not start antibiotic prod. (no commodity production in early stage)

HUMAN CAPITAL / PEOPLE (5 th P of marketing strategy)

Exceptionally well qualified individuals

Above average salary

Elegant & Refined working environment

Constant company of proff. (real good people with real good people)

Calling first names in company

Very much structured and purposive manner

ESOP

Attrition rate less than 1% (turnover only due to higher studies)

Breakthrough:

Switched from “uninspiring low technology” to high end technology

New technology replaced tray based conventional culture

Plafractor Bioreactor: all m.o processes in a computerized closed system

Acted as a technology bridge (platform technology)

Enabled biocon to cross from ind. Enzymes to biopharmaceuticals

Started R&D in immunosuppressants (reduce immune rejections)

Plafractor

Strategies

No commodity production in beginning due to lack of infrastructure

Diversification rather than expansion

Formed Helix (antibiotic prod.)

Formed Syngene, Clinigene (R&D in fermentation)

Biocon Quest (BQ) to produce these products in mass

Marketing strategy

Enzymes produced & sold as industrial intermediaries

Customer (staying with buyer’s processing line helping them obtain desired result from the enzyme)

Created an image of a reliable company able to give highly competent technical products & support

Also custom based products at any level

MILESTONES

2004,Post IPO, became the richest Indian woman (U.S $ 480 million) I978, started Biocon India Ltd. in collaboration with Biocon Int. 1990s, Unilever collaboration & Plafractor technology 1998, Biocon became a separate identity by buying Unilever share. 1996, got into Biopharmaceuticals & statins

Noteworthy Decisions

Emphasizing on significant product & applications even when company is tiny

Contract R&D firm to outsource research

Systematic collection & cataloguing of tropical m.o for future (biodiversity pool)

ESOP for retaining employees

Launch of Insurgen , first branded formulation (Recombinant Human Insulin)

Managing IPR

Core emphasis right from the beginning

Major IP management came with invention of Plafractor

Joined PCT which gave a lot of protection and time to explore countries.

Got into Human insulin production by attaining a process patent

Produced Human Insulin through Pichia Yeast (biodiversity pool helped)

Mutual beneficial partnership with Nobex for oral insulin delivery

SUCCESS MANTRA – MS. SHAW

Determination

Willingness to take risk

Talented team

Spirit of Adventure

Future

ORAL INSULIN has the potential to be India’s first proprietary

biotech blockbuster drug by 2010

• Pre-clinical studies to evaluate safety and efficacy in animal models has commenced.

• Biocon has initiated discussions with Pharma majors for licensing Oral Insulin for global markets.

ORAL PEPTIDE product for cardio vascular disease

Joined with U.S based Nobex Corp.

ANTICANCER DRUGS

Plan to build Asia’s largest Antibody facility

Joined with CIMAB (renowned Cuban research Inst.)

VACCINES

Psoriasis

Rheumatoid Arthritis

3 Cancer vaccines

Brand

Dynamic Helix or Dynalix

Multiple associations like DNA helix, molecules, interlocking ‘B’s (Biocon & Biotech )

Slanting shows company’s forward and upward vision

About Branding:

To convey innovation , quality, reliability, distinctiveness & int. outlook

Pale blue packaging was chosen to stand out among std. white packages

Recognition: Padma Bhushan (2005) The Economic Times Business Woman of the Year Award (2004) Ernst & Young Entrepreneur of the Year Award in Healthcare & Life Sciences (2002) Padma Shri (1989) Outstanding Young Person Award by Jaycees (1987) Rotary award for the Best Model Employer (1983) Outstanding Contribution Award (AWAKE) (1983) Gold for Best Woman Entrepreneur , Institute of Marketing Management (1982) Positions Held: Chairperson and Mission Leader of CII's National Task Force on Biotechnology Member, Board of Science Foundation, Ireland Member, Board of Governors, IIM Bangalore Chairperson, Karnataka's Vision Group on Biotechnology Vice-President, Association of Women Entrepreneurs of Karnataka (AWAKE)

"If I can build a company like Biocon, anyone can… The first step was to dream however big or small…. If you have a vision, no matter how big or small, a plan, no matter if it is imperfect, but if there is passion and conviction for it, success is inevitable." - Kiran Mazumdar Shaw, Managing Director, Biocon India Limited.