Pharmaceuticals

SAIDAL was created after the acquisition of several factories located in the Algiers suburbs and the complete restructuring of the Central Pharmacy of Algeria in April 1982. Six years later the antibiotic complex located in Medea, designed by the National Company of Chemical Industries, was allocated to SAIDAL. Following the implementation of economic reforms after the 1988 October Riots, SAIDAL changed its status to a public company, with management autonomy and a centralised decision-making system. In 1993 changes were made to the statute of the company, allowing it to participate in any business transaction related to the corporate purpose through the creation of new companies or subsidiaries. In 1997 the restructuring plan that was implemented resulted in its transformation into an industrial group comprising three subsidiaries ( pharmal, antibiotical and biotic), however, in 2014 SAIDAL merged its subsidiaries. This decision, approved by its governing bodies, has resulted in a new organisation, structured around nine core production units, three distribution centres and two subsidiaries, SOMEDIAL and IBERAL. The former is the result of a partnership between SAIDAL Group (59%), the European Pharmaceutical Group (36.45%) and FINALEP (4.55%). The latter one is a joint stock company — the outcome of a public-private partnership between SAIDAL Group (60%), UAE-based Julphar (40%) and Flash Algeria (20%).

The company also has many partnerships with other pharmaceutical groups, such as Winthrop Pharma SAIDAL (WPS), a partnership established in 1999 between the SAIDAL Group (30%) and Sanofi (70%) for manufacturing, processing and marketing medicinal products for human use in Algreria. Another key partnership is Pzifer SAIDAL Manufacturing, a joint venture established in 1998 between SAIDAL Group and Pfizer Pharm Algeria for the manufacturing, packaging and marketing of pharmaceutical and chemical products. SAIDAL-North Africa Holding Manufacturing-FNI is a result of a partnership between SAIDAL Group (49%), Kuwaiti North Africa Holding Company (49%) and the National Fund for Investment (2%) in September 2012. The venture is developing a centre specialising in the development, industrialisation and commercialisation of cancer drugs. Tassili Pharmaceutical is a partnership concluded in 1999 between SAIDAL Group (44.51%), the Arab Company for Drug Industries and Medical Appliances, the Saudi Pharmaceutical Industries and Medical Appliances, and Jordanian Pharmaceutical Manufacturing to manufacture pharmaceutical products.

The SAIDAL stock is listed on the Algiers Stock Exchange, with a capital of AD2.5bn (€20.7m). 80% of the capital of SAIDAL Group is held by the state and the remaining 20% was sold in 1999 through an initial public offering to institutional investors and individuals.

In term of activity, SAIDAL’s turnover for the first semester of 2015 was AD5.2bn (€43m), up 7.42% compared to same period during the previous year. In the meantime, both net profit and earning per share were up, such that the net profit reached AD1.04bn (€8.6m), rising 26.56%, and the earning per share was AD104 (€0.95) against AD83 (€0.76) for the same period in 2014. The net income of the group in 2015 was AD1.1bn (€9.1m), down 22% from 2014. In this period the group generated a turnover of AD9.9bn (€81.9m), a rise of 2% compared with 2014.

Distribution Of Dividends

The SAIDAL Group held its ordinary general meeting in June 2016, and decided to distribute a dividend of AD40 (€0.33) per share.

Development Strategy

To strengthen its position in the generic drug market SAIDAL Group outlined several lines of actions by implementing a comprehensive development strategy, in which the company will upgrade existing units, including five generic drug production facilities and an insulin production site. The company is building six new production facilities and will boost its research and bioequivalency activities by developing a centre for bioequivalent medications and by establishing a new modern research centre.

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The Report: Algeria 2016

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