West Pharmaceutical Services (WST - Snapshot Report) recently announced the commercial launch of its B.safe syringe safety system. The company will employ its scalable technology for mass production to meet market demand in the first half of 2013.
West acquired the intellectual property rights to B.safe in 2011 and completed all phases of product development as well as the first stage of commercial scale-up at its manufacturing center for safety systems in France. The latest announcement reflects the company’s commitment to meet the increasing market demand for safety systems.
Per management, the market launch of B.safe marks a keystone in West’s operations. This newest offering will enhance the company’s portfolio and allow it to extend its foothold in the prefilled syringes and needle safety arena as the B.safe system is better designed to safeguard against needlestick injury, compared with other prefilled syringes.
In another story, West inked an agreement with Janssen Biotech, Inc. to develop and manufacture a leading-edge self-injection product aptly named SelfDose. The collaboration will enable the company to enhance its existing portfolio of self-injection technology as SelfDose complements West’s ConfiDose and SmartDose injection technologies.
The market introduction of B.safe along with the commercialization of SeflDose is expected to bolster the sales of the company’s Delivery Systems segment. It is also expected to boost the segment market share, which is currently lower than 5% of the total global market. Since the company’s financial metrics rely on revenues generated by injectable drugs, the launch of B.safe is expected to reinforce its performance.
West is a global leader in provision of drug administration systems and components for packaging, as well as delivery of injectable drugs and delivery system components across various industries.
The company has a significant competitive advantage in the market it serves. Additionally, it continues to make headway into new geographies to expand its business. However, macroeconomic pressure across the globe remains a headwind.
West, which competes with 3M Co. (MMM - Analyst Report) and Rexam plc. (REXMY) in certain niches, currently has a Zacks#2 Rank, which translates into a short-term Buy rating.