2016 Integrated Report

Pelion family members and effective business model

Despite different business profiles and individual business goals, the Pelion Family companies share a business philosophy focused on Patients and their health. In line with our Mission: We are here to ensure a long and quality life for our Customers and Patients. On the one hand, Pelion is a company that boldly looks into the future, seizing the opportunities offered by innovation and the ever-changing world. On the other hand, it is build around the values which already in the 19th century created the ethos of the respectable profession of the pharmacist − the profession whose goal has always been, and should continue to be, serving mankind.

However, to be able to successfully help people, support their treatment and recovery and relieve pain, one should take a broader look at pharmacy − not only as manufacture of medicines, but rather as an entire chain of activities helping to ensure that Patients have access to medications they need. This includes both innovative research and manufacture of medicines, and their effective distribution to guarantee treatment. The Pelion companies' business is to ensure the availability of pharmaceuticals through their distribution, understood as sale to hospitals, wholesale and retail. The Pelion Family seeks process and organisational innovations which make it possible for medicines to be stored and transported in the best possible conditions, thus ensuring their highest effectiveness, and which, thanks to efficient logistics solutions, can be quickly transported to where they are needed. It is the possibility of keep a wide range of medicines in stock in the nationwide sales network in Poland and Lithuania. It is an integrated logistics system facilitating the delivery of requested medicines to individual Patients in the shortest possible time after placing an order. It is also the possibility of preparing the requested medicine according to the prescription directly at the pharmacy. Other Pelion Family companies, specialising, among other things, in drug insurance and debt management on the pharmaceutical market, also strive to ensure the availability of medicines. When speaking about Pelion and innovation, one should mention the companies which initiate the search for entirely new product solutions, invest in biotechnologies and conduct research to discover new active substances. It is also in-house laboratories and production lines.

Evolution of Pelion's Mission

The core business of Pelion has a direct effect on the availability and safety of pharmacological therapies − be that at the stage of supplying...

Evolution of Pelion's Mission

The core business of Pelion has a direct effect on the availability and safety of pharmacological therapies − be that at the stage of supplying medicines and other products to wholesalers, hospitals and pharmacies, to their transport and storage, to selling them and communicating with Patients at the retail level. From 2011 to the end of 2015, Pelion was guided by the following mission statement:

I Care for My Health − our passion, your investment

The belief it conveyed was that, by operating on the healthcare market, Pelion naturally assumes responsibility for the health of Patients. Therefore, the Company gets involved in initiatives promoting attitudes and solutions to improve health and supports individuals who, due to personal or financial difficulties, have limited access to pharmacotherapy. The Company's decisions, choices and actions have helped it develop into an international organisation whose scale, profile and corporate culture allow it to take responsibility for its external impacts, particularly on Patients' health.

Providing easier access to medicines, at the wholesale, retail and hospital levels, is what the Company has successfully delivered for the last 25 years and what underpins the Patients' trust it now enjoys. However, at the moment Pelion is facing new challenges, which arise from rapid advances in technology and changing needs of Patients. The Company wants to make sure its offering is aligned with the current situation and market requirements.

As Pelion's business grows, so does its impact. This is why in its 25th year of market presence, the Company decided to redefine its key business aspects. As a result, since 2016 all Pelion's activities have been centred around a new mission:

We are here to ensure a long and quality life for our Customers and Patients.

Values of the family of Pelion companies

The development of the family of Pelion companies is a history of progress based on the ability to build on the experience and best pharmaceutical traditions...

Values of the family of Pelion companies

Leadership. The development of the family of Pelion companies is a history of progress based on the ability to build on the experience and best pharmaceutical traditions and on the courage to think beyond the obvious when looking for the solutions and answers to the most challenging problems.

With our innovative approach and search for the ways to keep ahead of the changes taking place in the environment, we play an active role in shaping the market and social reality and set business standards on the markets in Poland and abroad.

By assuming responsibility for the impact of the business environment that Pelion creates on the social and economic environment, we seek to implement the model of business leadership which is responsible, supports and promotes sustainable development, and represents business ethics and success achieved through fair dealing.

Responsibility. We feel responsible for our Patients' health. It is the care for people's health that gives meaning to our activities and is crucial to the existence of the family of Pelion companies on the market. By putting the Patient in the centre of attention, we recognise our responsibility for supplying pharmaceuticals to the market, ensuring the proper quality and safety of the products sold, ensuring pharmaceutical care, and promoting health-conscious lifestyles.

As a listed company, we manage the capital entrusted to us by the investors in a responsible manner, always focusing on how to build sustainable value for our shareholders. By establishing families of companies with global impact, we assume responsibility for the jobs we create in Poland and abroad and for the relations with partners across all areas of our operations. We strive to minimise the negative impact of our actions on the natural environment and are always committed to overcoming social problems.

Trust. We aspire to build long-term relations with our trading Partners, Shareholders, Patients, Clients and Employees and strive to make sure that they are based on trust placed with the family of Pelion companies, stemming from our operational transparency and integrity, responsible decision-making, reliable information policy and positive experiences confirming our professional approach and high quality of cooperation.

We wish for those who work with our companies and their employees to always be sure to have made a good choice – be it of a committed pharmacist, a seller – consultant, a reliable business partner, a good employer, or a valuable investment.

Introduction

Pelion S.A. and its companies are Poland's largest healthcare company and one of Poland's largest companies built from scratch with Polish capital after 1989. Since its inception in 1990, Pelion S.A., together with the companies in which it holds equity interests, has been a contributor to Poland's economy, active across all segments of pharmaceutical distribution:

  • wholesale
  • retail sales
  • supplies to hospitals and logistics services

and has been expanding its operations both in Poland and Lithuania.

Pelion is Poland's largest healthcare sector business, employing over 9,300 staff and generating PLN 9.2bn in annual revenue (2016). It promotes innovative solutions to meet the expectations of Patients.

Pelion S.A. invests principally in companies from the healthcare sector. The holding-based organisation helps optimise the costs of management functions and seek additional synergies. At the same time, each company of the Pelion Family operates independently, maximising value.

As at the end of 2016, Pelion S.A. held, directly or indirectly, shares in 179 companies (for detailed information on the Group structure and its changes, see Section 1.4 “Group Structure” and Note 7.2 of the consolidated full-year report for 2016).

Pelion Family structure

struktura
dodać opis dla osób niewidomych
łańcuch wartości

The corporate governance principles adopted by Pelion S.A. provided the basis for defining its business framework and a unique organisational culture. Under the business strategy currently in place, Pelion aims to consistently solidify its position in the healthcare sector. The constant growth of the organisation and adaptation to new conditions and changes in legislation allow Pelion to respond to the changing expectations of all its business partners. Pelion S.A.’s priority is patient care, understood as the need to supply medicinal products at affordable prices.

Pelion S.A. seeks to achieve optimum growth of each business line, focusing on building the brand values of the companies responsible for individual business lines. Its objective is also to balance the interests of patients and clients, the interests of employees and the principles of running a healthy business to gradually and sustainably increase the value of its business.

Awards and distinctions for Pelion S.A.

Silver CSR Leaf from Polityka

On April 26th 2017, for a sixth time, the Polityka weekly awarded its CSR Leaves to the most socially responsible companies in 2016. Pelion is one of the few healthcare sector companies to have received the Silver CSR Leaf award, which confirms its adherence to the highest standards of responsible and sustainable business conduct. In 2016, in the w fifth edition of this prestigious ranking, Pelion was awarded the White CSR Leaf in recognition of its CSR initiatives in 2015.

The Polski Kompas statuette

Pelion has been awarded the Polski Kompas 2016 statuette by the editorial team of the Gazeta Bankowa monthly. As stated in the grounds for the decision, the award is in recognition of Pelion's innovative projects, going off the beaten track, consistent involvement in promoting healthcare in Poland, and becoming the industry leader.

The Icebreaker award

Pelion was distinguished in the 11th national edition of the Icebreakers 2016 competition. The Company took the second place and was awarded silver medal in the 'Open market' category by the competition Board. Earlier, Pelion won the first place in the 'Open market' category of the local edition of Icebreakers 2016 in the province of Łódź. The competition Board distinguished Pelion for creating jobs for people with disabilities across Poland and for its active involvement in the organisation and celebration of the Global Dignity Day, teaching dignity and respect for the disabled, elderly and the sick. The competition is organised by the Polish Association of Employers of the Disabled (POPON) to honour companies, institutions and private individuals that are sensitive to the problems of people with disabilities and open to their needs, are aware of the importance and necessity of their social and professional inclusion, and create new jobs and better workplaces adapted to the needs of this group of employees. Icebreakers 2016 received the honorary patronage of the First Lady of the Republic of Poland, Agata Kornhauser-Duda.

RESPECT Index

For a fifth consecutive time, Pelion secured a place in the RESPECT Index, again confirming its adherence to the highest standards of responsible and sustainable business. The official announcement of the Index review results and presentation of membership certificates took place at the offices of the Warsaw Stock Exchange on December 14th 2016. The companies had passed a multi-stage qualification process, involving a thorough assessment of the extent and comprehensiveness of their stakeholder-focused activities. Among the evaluated areas were business management strategies and techniques, HR and environmental policies, as well as market- and customer-oriented initiatives. Pelion's inclusion in the RESPECT Index for the fifth time proves that the company runs its business in a responsible and sustainable manner, and that it meets the expectations of its stakeholders, creating partnership based on trust and transparency. Another inclusion in the RESPECT Index also confirms the soundness of the Company's core values, which have been the foundation of its everyday activity for 26 years. In accordance with its mission of ‘Long and quality life’, Pelion focuses on Patients and their needs, providing them with innovative and comprehensive healthcare solutions. Pelion also aims to serve patients with support throughout the process of pharmacotherapy, as well as with expert knowledge, modern solutions in disease prevention and treatment and access to a wide range of affordable medicines. RESPECT Index is the first index of socially responsible companies (SRI) in Central and Eastern Europe. It includes companies with highest liquidity, which are market leaders in corporate governance, quality reporting and investor relations, and which stand out for their pro-environmental, social and employee-oriented activities.

500 Largest Companies List

Pelion ranked 33rd on the ‘500 Largest Companies List in 2015’, published by Rzeczpospolita in May 2016. The companies were ranked by their 2015 revenues.

CE Top 500

Pelion ranked 73rd in the list of the 500 largest companies in Central Europe and Ukraine, compiled by Deloitte in partnership with the Rzeczpospolita daily, moving up 6 ranks vs. 2015.

Pelion's Best Practices in the Responsible Business Forum's report

The Responsible Business Forum's ‘Best Practices’ report, highlighting the best practices of Polish companies in 2016, presents 14 practices followed by Pelion and its subsidiaries, including all five long-term practices (the voluntary blood donation campaign, pay-roll, Dignity Day, the PULS Programme, and the DOZ Marathon). The new nine practices featured in the report include: Academy of Business, Charity Heart, Car-Free Day, the ‘Farmakoekonomika Szpitalna’ quarterly, the Charity Evening with Santa, post-holiday cancer check-up – malignant skin cancer, Mikołaj's Heart, ‘Urtica for Children’ Camp, Welcome Day. Their inclusion in the report confirms Pelion's well-established position among the best companies which pursue interesting and socially responsible initiatives that can inspire other businesses. The ‘Responsible Business in Poland: Best Practices’ report is the most comprehensive review of socially responsible business activities in Poland.

14th place among the Largest Employees in 2015, in the Polish Business Patriotism Index 2016 ranking published by the Rzeczpospolita daily

10th place among the Most Patriotic Listed Companies by revenue, in the Polish Business Patriotism Index 2016 ranking published by the Rzeczpospolita daily

14th place among the Most Patriotic Large Companies by revenue (more than PLN 1bn), in the Polish Business Patriotism Index 2016 ranking published by the Rzeczpospolita daily

  • Revenue up to 5.4% yoy
  • Sales revenue of PLN 5.1bn
  • Workforce of approximately 2,300 people

Polska Grupa Farmaceutyczna S.A.

Polska Grupa Farmaceutyczna S.A. (www.pgf.com.pl) is a leading distributor of drugs to pharmacies in Poland. Today, it operates a nationwide wholesale network and enjoys an approximately 20% share in the Polish pharmaceutical distribution market. It has a storage space totalling 70,000 m2 and a fleet of several hundred vehicles. Its trade partners include a few hundred drug manufacturers and thousands of pharmacies.

Since its establishment, Polska Grupa Farmaceutyczna S.A. has always gone beyond the expectations of the ever-changing drug distribution market and set development trends for the entire industry. In response to increasing consolidation of the Polish pharmacy market, it offers business support tools to individual pharmacies. As part of the Healthy Choice partnership programme, pharmacies are provided with a full package of sales and marketing tools to enhance their competitiveness. Support in terms of warehouse optimisation and product category management allows pharmacies to reduce storage costs, boost sales and save time.

In 2016, in order to meet challenges posed by the market, Polska Grupa Farmaceutyczna began centralising its key business processes:

  • Management of relations with suppliers,
  • Telemarketing − centralised,
  • Logistics,
  • Sales processes centralised and tailored to market needs
  • Improved customer service quality − marketing.

Objectives and challenges in 2017:

  • To halt the downward trend in sales margins
  • To boost revenues and increase the share in Poland's drug distribution market by developing customised offering for pharmacies

Pharmapoint S.A

Pharmapoint S.A. (www.pharmapoint.pl) was established in October 2011 as part of the restructuring process of Pelion (initially as Pharmapoint Sp. z o.o.). Its principal business comprises sale of pharmaceutical products to other pharmaceutical wholesalers, storage of pharmaceutical products in various temperatures with 24/7 monitoring, distribution and logistics services, including exclusive distribution, and sales and marketing services.

The central warehouse and most of the offices are located in Łódź, with the pre-wholesale department based in Katowice and the other part of the warehouse and the imported goods warehouse – in Poznań. The company keeps expanding its logistics base by enhancing the scope and quality of its services. In 2016, Pharmapoint offered 2,000 product lines, ran a chain of more than 100 partner wholesalers, and cooperated with 30 countries as part of international distribution of pharmaceutical products.

  • Revenue up 10.2% yoy
  • Sales revenue of PLN 2.8bn
  • Workforce of close to 6,000 people

DOZ S.A.

DOZ S.A. (www.dozsa.pl) operates DOZ Apteki Dbam o Zdrowie, Poland's largest pharmacy chain. For over 15 years now, the company has been delivering and developing pharmaceutical professional care, according to the idea PATIENT IN THE CENTRE.

Trusted by Poles, DOZ Apteki dbam o zdrowie pharmacies serve over 3 million Patients every month. Their success is driven by more than 3,500 Employees, who in their everyday work are committed to values they share with the company, including Development, Trust, and Dedication.

Objectives and challenges:

  • Increase the number of Patients by providing the best offer and supporting with professional advice

Awards and distinctions for DOZ S.A.

Superbrands Created in Poland 2015/2016 and 2016/2017 titles

DOZ S.A. was received the Created in Poland Superbrands 2015/16 and 2016/2017 titles. This title is awarded to the strongest Polish brands on the market, based on the findings of a consumer survey conducted by ARC Rynek i Opinia, a research institute.

UAB NFG

The Group operates in Lithuania through UAB NFG, which owns two pharmacy chains, Gintarine Vaistine and Norfos Vaistine, and Limedika, a wholesale distribution business.

The sale of pharmaceuticals through brick-and-mortar pharmacies is combined with online sale through www.vaistine.lt. In addition, UAB NFG cooperates with partner pharmacies of the Baltijos Vaistiniu Grupe (BVG). As at the end of 2016, Limedika held a 25% share in the wholesale market and Gintarine Vaistine and Norfos Vaistine a held a 24.5% share in the retail market (in terms of value). With the partner BVG pharmacies included, the latter share amounted to almost 30%. The company also held a close to 50% share in sales of pharmaceuticals to hospitals.

Objectives and challenges:

  • Increase sales by expanding Patient-tailored offering

Awards and distinctions for UAB NFG

Award from the city of Kaunas for the largest contribution to the municipal budget

Nomination as one of the fastest growing companies in Lithuania in a competition held by the Verslo Žinios business magazine with the participation of Dalia Grybauskaite, President of Lithuania.

Natura

Natura (Natura Sp. z o.o.) (www.drogerienatura.pl) are one of the largest and longest established chains on the Polish beauty and personal care market. For 20 years now, Natura has been looking to ensure Customer satisfaction, always updating and adapting its product portfolio to meet Customer needs. Natura stores offer a broad choice of leading beauty and personal care brands as well as Natura exclusive lines, including KOBO Professional, My Secret, Sensique and Natura Care.

The Natura chain comprises more than 280 company-owned and agency stores located across Poland and an online store on www.drogerienatura.pl.

What makes a difference for shoppers at Natura beauty stores is professional Customer service staff and an atmosphere which ensures a great Customer experience. The company uses surveys to understand Customer expectations and follows the latest market trends. To even further enhance Customer satisfaction, Natura expands its product range and tailors it to meet Customers’ needs, and also upgrades the interior of its beauty stores, thus enhancing the Customers’ shopping experience. In keeping with the latest trends and in order to fulfil its mission focused on health and proper care, Natura adds more and more natural cosmetics to its offering. In July 2016, Natura launched the ‘Klub Natura’ loyalty scheme for its Customers.

Objectives and challenges:

  • Increased sales through organic growth and development of product range for Customers
  • Becoming the industry leader in the category of Natural Cosmetics, available in every Natura beauty store

Awards and distinctions for Natura beauty store chain

Superbrands − Created in Poland 2016

In 2016, the Drogerie Natura beauty store chain was distinguished for the fourth time by the independent body Rada Marek (the Brands Council) with the 'Superbrands − Created In Poland' title, which is awarded to Polish brands enjoying the highest customer recognition in their respective categories. Every year, 2,400 brands take part in the certification process.

The KOBO Professional personal care brand awarded the 'SUPERPRODUKT Świata Kobiety 2016' title by the Świat Kobiety monthly magazine

The KOBO Professional personal care brand, available exclusively in Natura beauty stores, was recognised by Świat Kobiety in the SUPERPRODUKT Świata Kobiety 2016 poll. In the Make-up category, two beauty lines offered by the brand received the Superprodukt title – Matt and Nude Eyeshadow Set and two face make-up palettes, Face Contour Palette and Face Strobing Palette. The SUPERPRODUKT Świata Kobiety poll is held annually by the Świat Kobiety monthly with the participation of Polish beauty brands. The poll covered products launched onto the market between August 1st 2015 and July 31st 2016, with prizes awarded in eight categories. In recognition of the KOBO Professional product lines, the jury awarded them the 1st place in the Make-up subcategory of the Beauty Products category.

Daymakerindex 2016 for Natura beauty store chain

Natura was recognised in the Daymakerindex 2016 survey, topping the ranking in the Beauty Store category. The Natura beauty store chain received the highest score for the quality of customer service. The chain was also recognised for the professionalism, politeness, commitment and positive attitude of its salesforce. Daymakerindex is a Mystery Shopping-based customer service quality survey conducted across 19 industries in Poland.

  • Revenue up 16.7% yoy
  • Sales revenue of PLN 1.8bn
  • Workforce of more than 350 people

PGF Urtica sp. z o.o.

PGF Urtica (www.urtica.pl) is a wholesale business with national coverage and an established position of market leader. The largest distributor of pharmaceuticals to hospitals, the company works with 870 hospitals and supplies drugs for every third hospitalised Patient. PGF Urtica also serves more than 1,000 other customers, including mainly non-public healthcare centres (NZOZ) as well as Sanitary and Epidemiological Stations throughout Poland.

For many years now, PGF Urtica has been gaining experience, developing unique expertise and building its professional reputation, which is why it has earned the market's trust and enjoys outstanding relations with drug manufacturers and healthcare providers. The company also draws on its extensive expertise and know-how to offer its customers other services, including professional management of tender processes, market analysis, sales support, logistics services and marketing activities.

In early August 2016, it opened a state-of-the-art logistics centre in Łódź. Its strategic location in the centre of Poland enables efficient communication with suppliers and customers. The new warehouse integrates distribution processes in the sector of supplies to hospitals and logistics services for drug manufacturers. The facilities' combined storage area, located on two levels, is nearly 3,500 m2. Their sorting systems and conveyors ensure enhanced product completion. The centre offers appropriate technical and organisational solutions, ensuring that every stage of the supply chain is in compliance with the Pharmaceutical Law and Good Distribution Practice.

On January 21st 2016, PGF Urtica acquired all shares in Pharmalink, establishing a single business line − Supplies to hospitals and logistics services. Pharmalink, responsible for services to manufacturers, is a logistics operator for the pharmaceutical sector focusing on supply chain management, warehousing and distribution of drugs. Pharmalink ensures delivery to any location in Poland within 24 hours, using a specialised fleet of two-chamber vehicles with an active cold chain, compliant with the most exacting temperature requirements, in line with the Pharmaceutical Law and Good Distribution Practice. Temperature is monitored online on a 24/7 basis via GPS.

Pharmalink stands for:

  • Comprehensive warehousing services covering the receipt, storage, order picking and release of goods in line with the customer’s expectations
  • Full range of transport services (nationwide deliveries of parcels and pallets, entire vehicles, international transport)
  • Temperature-controlled transport: 2-8°C, 15-25°C, and below -20°C
  • Timely receipt and delivery − in excess of 99% of shipments
  • Results of monthly customer satisfaction surveys based on net promoter score regularly above 80%.

Objectives and challenges:

  • To increase the market share and halt decline in sales margins
  • To partner up with drug manufacturers and develop direct distribution services

Other activities

Consensus Sp. z o.o.

Consensus Sp. z o.o. (www.consensus-df.pl) specialises in debt management. The company's core business is providing support to its partners – both Pelion Family companies and third parties – in credit risk management at all stages of their relationship with customers: from review of customers' financial condition and credit histories, to determining the amount of trade credit limits and monitoring the timeliness of payments, to support in debt discharge and enforced debt collection procedures.

The Consensus team is primarily composed of legal, debt collection and risk management experts.The company operates in the entire territory of Poland - 93% of pharmacies operating on the Polish market are subject to ongoing review. Company’s offering includes comprehensive solutions in debt management (credit risk management, monitoring of payments, debt restructuring, court collection and other, such as management of trade credit insurance policies, training on payment security, debt trading intermediation). The main area of Consensus’ activity is helping customers maintain financial liquidity, with a strong focus on keeping good relations with the trading partners.

Awards and distinctions for Consensus Sp. z o.o.

'EFFECTIVE COMPANY' award by European Business Institute

Business Support Solution S.A. (BSS S.A.)

Business Support Solution S.A. (www.bssce.com) was established to address the market's growing interest in outsourcing services. The company provides its services to over 260 domestic and foreign entities. BSS's customer base includes wholesalers, retailers, service providers, manufacturers and numerous other customers, including companies listed on the WSE and NewConnect markets. BSS S.A. offers comprehensive business process outsourcing services, including outsourcing of accounting and reporting services, consolidation of financial statements, outsourcing or HR and payroll services, management accounting, tax services, support for financing processes, and business advisory services.

The company employs highly qualified specialists in finance, taxes, HR and payroll, as well as business process handling, holders of ACCA, qualified auditor, tax adviser and Green Belt certificates. Accounting services provided by BSS are also subject to supervision by employees holding the Ministry of Finance's certificates authorising them to provide accounting services.

Awards and distinctions for BSS S.A.

The Best Annual Report 2015 for NewConnect

A distinction awarded to one of BSS customers (a group listed on the New Connect multilateral trading facility) for the best financial statements in 2015.

Inclusion in the list of the 25 best employers prepared by the 'Gazeta Finansowa' weekly.

The poll covered companies from various regions of Poland. Based on received information, in-house research and interviews with HR experts, the editorial team selected 25 companies which it believes to offer added value to their employees in the form of cooperation with local communities, volunteering projects, involving employees in projects of key importance to the company, employee benefit packages, and competence development programmes.

One of ten companies featured in Gazeta Finansowa's 'Outsourcing Leaders 2016' ranking

The list was drawn up based on questionnaires filled in by outsourcing companies. The ranking presented ten companies from ten industries, with the most interesting offerings for customers.

epruf S.A.

epruf (www.epruf.pl) combines healthcare activities with insurance services. It is an operator of settlements related to drug insurance and healthcare programmes.

Since 2009, it has partnered with insurance companies in the administration of drug insurance products. It ensures efficient and convenient settlements between insurance companies and pharmacies, which offer their customers cashless financing, primarily under drug insurance programmes. The company cooperates with the leaders of insurance and healthcare services markets: PZU Życie, PZU Zdrowie and LUX MED Ubezpieczenia. As at the end of 2016, the company's services covered more than 500,000 patients holding drug insurance and over 6,000 pharmacies on the Polish market. The company also provides clients with business support services relating to benefit settlement and analysis. It develops and implements customised marketing programmes and sales support projects.

Eubioco S.A.

Eubioco S.A. (www.eubioco.eu) is a company whose core business is the provision of contract manufacturing services, product research and development, and manufacturing activities at the Laboratorium Galenowe Olsztyn Sp. z o.o. production plant.

The company's customers include domestic and foreign entities which do not operate their own production plants, and pharmacy chains which are building strong proprietary brands and need a reliable production partner. Eubioco services include development of process documentation required in the notification procedure for dietary supplements. The company also conducts research and development work in partnership with an external customer to prepare a part of registration documents for a medicinal product.

In 2016, following the installation of a packaging line, the production plant in Dywity near Olsztyn enhanced its blister packaging capacities for tablets, coated tablets and hard capsules.

Pharmena S.A.

Pharmena S.A. (www.pharmena.eu) is a biotechnology company, whose core business is to develop and commercialise state-of-the-art products based on its patented active ingredient. The company was established to commercialise a discovery made by researchers of the Łódź University of Technology. They found that certain pyridine salts can have medical applications. The company's current operations in this field focus on three areas:

  • research (conducted in the United States and Canada) into medical applications of selected pyridine salts with a view to developing a globally innovative antiatherosclerotic drug;
  • manufacture and sale (since 2003) of innovative patented dermocosmetics;
  • marketing of an innovative food supplement for atherosclerosis prevention.

Pharmena conducts research into and develops potential therapeutic applications of its patented active ingredient as an innovative oral antiatherosclerotic drug. Pharmena is the first Polish company conducting advanced clinical trials in North America. The drug being tested has a unique potential for application in treating heart and vascular diseases.

Pharmena S.A. was also the first Polish company to take active steps to register its active substance in line with the procedure for novel food, in order to apply it in an innovative food supplement. The application is at an advanced stage of assessment by the European Food Safety Authority (EFSA). Successful authorisation of the substance as a novel food will enable the company to enhance its offering with a food supplement that is unique on the Polish and European markets.

The company's dermocosmetics stand out for their unique composition: they are the only products available on the market which contain the REGEN7 molecule, a patent law-protected physiologically active substance of vitamin origin (derivative of vitamin PP). The REGEN7 molecule protects the skin against irritation, regenerates the epidermis, improves skin microcirculation and strengthens hair follicles. Thanks to its properties, it has a wide range of applications in specialised dermocosmetics for both problem skin care and hair loss treatment.

Combining the active ingredient with other components, Pharmena has developed unique product lines: Dermena®, Dermena® Plus, Allerco®, Accos®, Thermi®, and Revium®. These lines have been consistently enhanced with new products. The products are sold at pharmacies and beauty care stores. Pharmena S.A. offers its products as part of three segments: the Hair Care segment (the Dermena Hair Care and Dermena Lash Care lines for persons with falling hair/eyelashes), the Nail Care segment (the Dermena Nail Care line) and the Skin Care segment (the Dermena Skin Care, Allerco and Thermi lines for persons with skin problems).

Awards and distinctions for Pharmena S.A.

Distinction in the Forbes monthly's FORBES DIAMONDS ranking in the category of companies with revenue between PLN 5m to PLN 50m in the Łódź Province.

'Good Brand 2016 – Quality, Trust, Reputation' title in the Hair Care Dermatological Products category for the Dermena brand.

The second place for the Allerco bath emulsion in the Child Cosmetics category in the SuperMama Awards 2016 poll.

The 'Wprost Weekly Eagle' award granted to the most dynamically growing companies of the Łódź Province.

Brzeziny Specialist Hospital

Through an associate, Pelion holds 30% of shares in Powiatowe Centrum Zdrowia w Brzezinach Sp. z o.o., whose principal business is the provision of medical services as part of hospital and out-patient medical activities, medical emergency activities, general and specialist medical practice activities. The Brzeziny Specialist Hospital (www.szpital-brzeziny.pl) is an important centre for treatment of colorectal and breast cancer, with 400 oncology procedures carried out each year.

The hospital is one of Poland’s three leading facilities which perform nearly all procedures related to endoscopic treatment of gastrointestinal cancer (such as ESD and POEM). The Brzeziny Specialist Hospital became one of the three leading centres of this type in Poland in only a year.

Each month, the hospital offers endoscopy surgery courses for surgeons from all over Poland. In February 2016, at the Brzeziny hospital, a neurostimulator for faecal incontinence was implanted for the first time in Poland – the procedure was directed by Doctor Jacopo Martellucci from Florence, Italy, and Professor Adam Dziki. In March 2016, the hospital was visited by Doctor Makoto Nishimura, Japanese specialist in endoscopy surgery of the alimentary tract, working for the Tokyo Metropolitan Geriatric Hospital and Institute of Gerontology.

ALE Sp. z o.o.

The company is a manufacturer of dietary supplements supporting and supplementing the diet of physically active people, convalescents or people who want to supplement body deficits of vitamins and minerals..

Daruma Sp. z o.o.

The company's principal business is the lease of property, plant and equipment and property management across the Pelion Group.

Pharmauto Sp. z o.o.

The company manages Pelion's vehicle fleet.

Pharma Partner Sp. z o.o.

The company's focus is on the design and development of innovative healthcare solutions in response to Patients' needs.

Bez Recepty Sp. z o.o.

The principal business of Bez Recepty Sp. z o.o. is publishing.