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CIBA Vision to invest RM500m in Johor contact lens manufacturing facility
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Kuala Lumpur, Oct. 25, 2005 - CIBA Vision Corporation, an Atlanta-based, global leader in the research, development and manufacturing of optical and ophthalmic products and services, is investing RM500 million (USD131 million) in a contact lens production facility in Johor's Tanjung Pelepas Free Trade Zone. The investment, to be spread over eight years, was announced by Mr. Mike Dilworth, head of CIBA Vision's global supply chain, at a news conference at the Ministry of International Trade and Industry following a meeting with the Minister, Datuk Seri Rafidah Aziz in her Kuala Lumpur office today."The main reasons for CIBA Vision's choice of Johor as the location for this project are Malaysia's political stability, the strong fundamentals of the economy and the ability of related industries to support this investment. The attractive incentive package and the government's assurance of the speedy implementation of the project are also important factors," Dilworth said. "A key factor for us is its proximity to existing CIBA Vision manufacturing plants in Batam, Indonesia and Singapore. The new Johor plant will give our regional manufacturing structure critical mass and enable us to quickly increase capacity to meet increasing Asian, as well as global, demand," Dilworth added. "It will also give us a manufacturing centre of excellence in Southeast Asia with all three sites sharing resources and knowledge of the latest manufacturing technologies."Dilworth said the Johor site's easy access to airports for air freighting and its leverage of CIBA Vision's existing distribution centre in Singapore enabled the company to consolidate inventory and facilitate shipping to Asian customers, as well as to distribution centres in North America and Europe. "The Johor factory will be state-of-the-art and will produce one of our most technologically advanced high-oxygen transmissible products, O2OPTIX™ breathable contact lenses for healthy eyes," Dilworth added. The O2OPTIX lenses are made from a silicone hydrogel, lotrafilcon B, the newest material used in contact lenses. O2OPTIX is a breathable contact lens that transmits up to five times more oxygen than traditional (HEMA-based) soft contact lenses, for whiter, healthy-looking eyes. The lens' breathability enables wearers to nap or even sleep in them for up to six nights of extended wear, as recommended by eye care professionals.According to Mr. James Kong, CIBA Vision's head of supply chain for Asia Pacific, the company has grown since its start-up in 1980 to a group with annual product sales of more than RM5.32 billion (USD 1.4 billion) in 70 countries.Also present at the news conference was Mr Stefan Ziegler, regional head of Novartis AG, CIBA Vision's Swiss parent and a world leader in pharmaceuticals and consumer health. Novartis was created following the 1996 merger of Swiss pharmaceutical giants, Ciba-Geigy and Sandoz."This is our first investment in a manufacturing operation in Malaysia and brings our total investment in the ASEAN region alone to RM2.5 billion (US$668 million)," Ziegler said. "We look forward to a long-term and mutually beneficial relationship with the Malaysian Government.About CIBA VisionCIBA Vision is a global leader in research, development and manufacturing of contact lenses and lens care products. CIBA Vision products are available in more than 70 countries. For more information, visit the CIBA Vision web site at www.cibavision.com.CIBA Vision is the eye care unit of Novartis AG (NYSE: NVS), a world leader in pharmaceuticals and consumer health. In 2004, Novartis Group's businesses achieved sales of USD28.2 billion and pro forma net income of USD5.6 billion. The Group invested approximately USD4.2 billion in R&D. Headquartered in Basel, Switzerland, Novartis Group companies employ approximately 81,400 people and operate in more than 140 countries around the world. For further information please consult http://www.novartis.com.
Last Updated : Tue, 22 November 2005Top
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