Nowadays, Grindeks’ subsidiary company, Tallinn Pharmaceutical Plant is a modern pharmaceutical company that conforms to the requirements of Good Manufacturing Practice and which went over to the specialized manufacture of high quality ointments during 2003.
Grindeks has successfully integrated the TPP as a structural unit within its Baltic pharmaceutical conglomerate and specialization has allowed the Tallinn Pharmaceutical Plant to optimize costs, by utilizing manufacturing capacities and its many years of experience in the development and manufacture of ointments more effectively. Such an approach has proved justified, because last year’s financial data showed that the Tallinn plant’s profits compared to the previous year had risen by 44%, and moreover also confirms that the sizeable investments made by Grindeks in its subsidiary company are bringing results.
As Grindeks Chairman of the Board, Valdis Jākobsons commented: “Right now, the development of the conglomerate in the chosen area of specialization is particularly important – following Latvia’s accession to the European Union. It has facilitated the successful and timely harmonization of the company’s pharmaceutical manufacturing practice to EU requirements and increased its competitiveness in international markets. Ointments manufactured by the TPP such as Viprosals B and Kapsikams are widely known in the Baltic and Russian markets as well as those in other countries.”
TPP origins date back to 1914, when a manufacturing laboratory for pharmaceutical products was established in Tallinn, which was engaged in the manufacture of medicines, cosmetics and chemical products, as well as that of food additives. From 1961 onwards, the TPP began to specialize in the manufacture of chemical preparations, ointments and injection solutions. In those days, the TPP was the only company in the entire former Soviet Union that manufactured ointments on an experimental basis, utilizing ingredients such as snake poison and bee sisters’ royal jelly.
In 1994, the TPP was privatized and a joint stock company was established. Two years later, TPP shares began to be quoted on the Tallinn Stock Exchange. In1998, a majority shareholding in the company was acquired by Grindeks, the largest pharmaceutical manufacturer in the Baltic States, thus beginning a mutually successful partnership. In 2003, the TPP’s specialized manufacture of ointments was harmonized with the requirements of Good Manufacturing Practice and establishment of the company’s quality management system was completed in accordance with the principles of ISO 9001’2000.
Currently, the production of ointments is a priority of the Tallinn Pharmaceutical Plant’s development program that provides for the further modernization of technological equipment.
Last year, the TPP achieved praiseworthy financial indicators – its turnover for 2003 was: Ls 3 110, 347 whilst its net profits were: Ls 421,395, an increase of 44 % on the figure from 2002.
Grindeks currently owns 93.46% of the TPP’s shares.