Ipsen highlights new strategic priorities and provides mid-term financial outlook

• Focus on core therapeutic areas of Oncology, Rare Disease
  and Neuroscience
• Commitment to invest in R&D supported by SG&A efficiencies
• Priority on External Innovation strategy to build sustainable pipeline for future growth
   

Paris (France), 1 December 2020 – Ipsen (Euronext: IPN; ADR: IPSEY), a specialty-care focused biopharmaceutical group, today will host a virtual Capital Markets Day to highlight the Group’s new strategic priorities with the aim of driving continued growth and bringing transformative medicines to patients.
David Loew, Chief Executive Officer of Ipsen stated: “Our new Group strategy positions Ipsen for long-term success by focusing together for patients and society. We will reinforce our commitment to Oncology, Rare Disease and Neuroscience by strengthening and accelerating our external innovation efforts and pipeline in clearly-defined segments. Through prioritization and collaboration, we will drive efficiencies to support investment in our pipeline. We are building on a strong foundation of engaged employees, agile development capabilities and global commercial footprint. I am energized to execute on our key strategic priorities to create long-term value for all stakeholders.”
Bring the full potential of innovative medicines to patients
Ipsen is focused on maximizing the value of its current Specialty Care product portfolio through commercial excellence and geographic expansion. The Group aims to maximize its core brands Somatuline® (lanreotide), Decapeptyl® (triptoreline) and Dysport® (botulinum toxin type A) and capture the full potential of its innovative oncology products Cabometyx® (cabozantinib) and Onivyde® (irinotecan liposome injection). If approved, the launch of palovarotene will be a key milestone to bring this medicine to patients with FOP and strengthen Ipsen’s presence in Rare Disease.
A strategic review of the Consumer Healthcare business is proceeding.
Build a high-value sustainable pipeline
Ipsen’s priority is to build a sustainable pipeline to drive long-term growth. Recent initiatives have prioritized the pipeline on the highest potential opportunities and progressed the transformation of the R&D organization. Ipsen is strengthening its external innovation efforts by targeting differentiated medicines in its three core therapeutics areas of Oncology, Rare Disease and Neuroscience, with a broader disease and modality scope than previously defined, and across all stages of clinical development.
Deliver efficiencies to enable targeted investment & growth
Ipsen is committed to generating efficiencies through a focused and agile operating model. Leveraging smart spending, streamlined operations, manufacturing efficiencies and optimizing digitalization, the Group will be able to reinvest in R&D and external innovation to fuel future growth.
Boost culture of collaboration & excellence
Patients and society are at the core of Ipsen’s mission, starting with fully engaged employees and a culture of accountability to perform and compete in the long-term. Ipsen is highly committed to its corporate social responsibility (CSR) initiatives which are centered around employees, community and the environment, as reflected throughout the organization and in the inclusion of responsibility metrics in management compensation.
Mid-term financial outlook and capital allocation strategy
Ipsen provides its financial outlook for the period 2020-20241:

• Group Net Sales CAGR2 between +2% and +5%3,assuming potential additional indications
• Commitment to invest in R&D supported by SG&A efficiencies
  • Lower SG&A as a percentage of net sales driven by further focus and optimization
  • Higher R&D as a percentage of net sales driven by external innovation strategy

External innovation is Ipsen’s number one priority for capital allocation. In support of its external innovation strategy, Ipsen expects to generate by 2024 a cumulative €3bn4 of firepower for pipeline expansion, excluding the sale of any assets.
Webcast
Ipsen will host a video webcast of the Capital Markets Day on Tuesday, 1 December 2020 from 2:00 p.m. to 5:00 p.m. CET (GMT+1) available at www.ipsen.com. Participants should log in to the webcast approximately 5 to 10 minutes prior to its start. No reservation is required to participate in the conference call.
Webcast link: https://ipsencapitalmarketsday2020.online-event.fr/
Please note this event will be streamed live. No dial-in number available.
A recording will be available for 14 days on Ipsen’s website.

1 Ipsen is on track to deliver its previous 2022 financial targets and is committed now to a new 2024 financial outlook
2 Compound Annual Growth Rate
3 At constant exchange rates and scope
4 Based on Net Debt remaining below 2.0x EBITDA

Attachment

• Ipsen-Mid-term-financial-outlook-1-December-2020