Novo Nordisk focuses r&d on therapeutic proteins: job losses to be expected

Novo Nordisk is to focus all its r&d resources on the company's growing pipeline of protein-based pharmaceuticals. The company's r&d activities within small molecules for oral treatment of diabetes will be discontinued and existing projects divested.

Since 2002, Novo Nordisk has increased its focus on pharmaceuticals based on therapeutic proteins.

Mads Krogsgaard Thomsen, cso and executive vice president of Novo Nordisk, said: 'Our core competences lie within therapeutic proteins, and it is within this area that we can make the greatest difference in terms of patient outcomes and company growth. Therefore, it is a logical move to focus all our research and development efforts on this area.'

Existing pre-clinical and clinical small-molecule projects, including NN9101 (a glucokinase activator project currently in phase 1 clinical testing) are expected to be out-licensed.

The decision will have a direct impact on approximately 180 employees. Novo Nordisk currently estimates that it will be possible to offer other positions within the company to approximately half of the affected employees. The company has initiated negotiations with the local unions regarding plans for redundancies, which are mainly expected to affect scientists specialised in small molecules.

The firm still expects to increase spending in 2007 on r&das a proportion of sales compared to the level for 2006.