DCC Vital sells, markets and distributes a broad range of third party and own-branded products (including pharmaceuticals, medical, surgical and laboratory products) through its specialist field sales teams. DCC Vital is also a leading provider of value added logistics services in Britain, providing innovative stock management and distribution services to hospitals and healthcare brand owners/manufacturers, focussed principally on theatre products. DCC Vital works with leading pharma companies such as Actavis, Cipla, Fresenius Kabi, Grifols, Hikma, Martindale Pharma, Medac, Rosemont, Sandoz and Teva as well as representing leading medical, surgical and scientific brands including BioRad, Diagnostica Stago, ICU Medical, Mölnlycke, Oxoid and Smiths Medical.
DCC Vital sells, markets and distributes innovative and generic pharma products in Britain and Ireland through the hospital, retail pharmacy and homecare channels and has extensive market coverage into these channels. DCC Vital’s portfolio of pharmaceuticals encompasses a range of therapy areas including oncology, antibiotics, anaesthesia, pain management, haematology, respiratory, addiction and emergency medicine. DCC Vital has a substantial pharma business with aggregate revenues of approximately £100 million and a leading position in the British generics market.
DCC Vital has been active in the pharmaceutical market since 2002, initially focussed on intravenous hospital products. Following the acquisitions in recent years of Kent Pharma (February 2013) and Neolab (May 2011), DCC Vital now also has a strong presence in the retail pharmacy channel. At the time of acquisition, Neolab was a small British generic pharma business with a focus on pharma products particularly those in the respiratory therapy area. Similarly, Kent Pharma was a leading provider of generic pharma products to the British market. Kent brought a highly complementary product and product licence portfolio to DCC Vital. The Kent portfolio of own licensed products has a particular focus on beta lactam antibiotics including penicillin V, flucloxacillin and amoxicillin, which are long established antibiotics typically used to treat bacterial infections such as throat, ear and respiratory tract infections. Today, DCC Vital’s pharma business remains the market leader in these products in Britain, which are manufactured in its own specialist beta lactam manufacturing facility located in Roscommon, Ireland.
DCC Vital also provides outsourced pharma compounding services to hospitals in Ireland, through its licensed compounding facility in Dublin, which is involved in the aseptic filling of oncology, pain management, antibiotic and paediatric nutrition products into patient ready dosage forms i.e. syringes or IV bags.
DCC Vital has a leading position in the sales, marketing and distribution of medical devices into hospitals in Ireland and Britain with an extensive, highly trained field sales force and strong relationships with senior management, clinicians and procurement professionals. DCC Vital sells and markets a broad range of medical devices and consumables in areas such as wound care, urology, procedure packs, critical care (anaesthesia, endovascular, cardiology, and IV access), diagnostics, orthopaedics and neurology. Products are typically single use/consumable in nature. Capital equipment represents a small element of total sales and typically relates to generating sales of consumable products, for example the sale (or placing) of diagnostic testing equipment in order to drive sales of the consumable test kits used in the equipment. The business is building a significant position in the medical devices sector in Britain which was enhanced in the year by the acquisition of Leonhard Lang UK (acquired in July 2013), the market leader in electrodes and diathermy consumables.
DCC Vital operates in the pharma and medical device markets which are primarily government funded. Fiscal budgets in Britain and Ireland have tightened and, in common with the majority of developed economies, the burden of care, particularly to support ageing populations, is growing. As a result, healthcare providers are increasing their focus on cost saving opportunities and value for money. Public and private healthcare payers and providers are leveraging procurement scale through increased use of tendering, framework agreements, reference pricing and generic pharmaceuticals. They are switching to equivalent quality, lower cost medical and pharma products as well as outsourcing activities deemed to be non-core. DCC Vital is well placed to benefit from these trends.
Competitors in this market sector include global healthcare companies such as Johnson & Johnson and Baxter as well as a large number of small and medium sized medical, surgical and pharmaceutical manufacturers and distributors. DCC Vital’s largest competitor in the Irish market is the medical and scientific business within UDG Healthcare plc, principally through a range of competing agencies. Competitors in the value-added distribution sector in Britain include NHS Supply Chain (operated by DHL Logistics) and Bunzl plc.
DCC Health & Beauty Solutions
DCC Health & Beauty Solutions is one of Europe’s leading outsourced service providers to the health and beauty sector with a customer base across the continent serviced from our operations in Britain and Scandinavia. DCC Health & Beauty Solutions’ range of outsourced services is focussed principally on the areas of nutrition (vitamin and health supplements) and beauty products (skin care and bath and body care). The service offering encompasses product development, formulation, stability and other testing and regulatory compliance, as well as manufacturing and packing. In January 2014, DCC Health & Beauty Solutions further strengthened its business through the acquisition of Universal Products Manufacturing (Lytham) Limited (‘UPL’), a British contract manufacturer of creams and liquids. UPL develops, manufactures and packs a wide range of skincare, haircare and pharmaceutical products. DCC Health & Beauty Solutions is now one of the two leading British creams and liquids contract manufacturers for brand owners. The business operates six licensed manufacturing facilities (four in Britain and two in Sweden) and contract manufactures in a wide variety of product formats (tablets, soft gel and hard shell capsules, creams and liquids). The business continues to enhance its reputation and market share in Continental Europe, especially in Scandinavia, the Benelux region and Germany.
Consumer demand for nutrition and beauty products has been robust through the economic downturn with continued demand for product innovation. The trend for health and beauty brand owners to outsource non-sales and marketing activities (including product development) and to streamline their supply chains is a more important factor in driving demand in the contract manufacturing sector. There is also a trend towards increased regulation and higher manufacturing standards in the health and beauty sector. These trends are favouring well-funded contract manufacturers like DCC Health & Beauty Solutions which has the resources to invest in regulatory expertise and high quality facilities. Our main competitors include Catalent, Aenova, Brunel and Ayanda in nutrition and LF Beauty and Swallowfield in creams/liquids.