British drug maker GlaxoSmithKline (GSK) has received several offers for the Europharm factory it owns in Brasov, Romania, both from local and international investors, according to GSK Romania’s general manager Pascal Prigent.

“We are currently in talks with potential buyers. We received more offers than expected,” said Prigent, quoted by local business publication Zf.ro.

Earlier this year, GSK announced its plans to close down the Europharm factory in Brasov because of production overcapacity at a group level.

“The decision came following a wave of expired patents which led to an excess of capacity for solid oral drugs,” Prigent said.

The drug maker also said that is looking for a buyer and that it would move production at the factory to other factories of the group.

However, according to GSK, this is not a sign the company does not plan to further invest on the Romanian market.

The factory in Brasov is the second largest drug producer in Romania, and had a turnover of EUR 104 million last year, and a profit of EUR 11 million.

The factory was opened 20 years ago and produced drugs for HIV/AIDS treatments, drugs for respiratory diseases, depression, cold and flu.

Taken over in 1998 from Europharm, the factory employs about 250 people. GSK has invested some USD 100 million in the site since taking it over.

In 2011, the company finalized a USD 7 million investment in two production lines for the anti-depressive Seroxat and for the HIV drug Retrovir. In total, the factory produces 16 brands of drugs.

Irina Popescu, irina.popescu@romania-insider.com

(photo source: Sxc.hu)