KPMG Services for Pharmaceutical & Medical Technology Companies

18 Pages·2017·1.81 MB·English

KPMG Services
for Pharmaceutical &
Medical Technology
Companies
2018
KPMG in Russia and the CIS
kpmg.ru
2 KPMG Services for Pharmaceutical &
Medical Technology Companies
Content:
KPMG’s Global Pharmaceuticals &
Medical Technology Practice 02

KPMG in Russia and the CIS
03

KPMG services for various lines
of business 04
– Audit
– T ax and Legal
– Advisory
KPMG publications
1 0
Corporate social responsibility
1 1
©© 22001188 KKPPMMGG.. A All lr irgighhtsts r eresseervrveedd. .
KPMG Services for Pharmaceutical & 3
Medical Technology Companies
Introduction
KPMG’s Pharmaceuticals & Medical Technology Practice assists
companies specializing in pharmaceuticals and medical devices production
Victoria Samsonova and biotechnologies development in Russia and the CIS.
Director,
Pharmaceuticals and medical technology are rapidly growing and innovative
Head of Healthcare &
sectors, with a signifcant development potential in Russia and the CIS.
Pharmaceuticals,
Russia and the CIS The sector development prospects in the region appear optimistic.
However, we should bear in mind the risks characteristic of this business
that are inter alia driven by structural reforms of healthcare systems
and numerous amendments to legislation. In order to overcome all the
challenges the business community needs a comprehensive view of the
issues and a proactive approach to resolving them.
We assist our clients, both small and medium enterprises and major
multinationals, in developing turnkey solutions that contribute to organic
business growth and enable them to deal with market turbulence. We are
confdent that our extensive project experience, in-depth sector insights
and technical expertise will contribute to your business success under any
circumstances.
… KPMG clients point out the
outstanding level of “expertise in
pharmaceutical sector issues”. The frm
was also highly rated for its “proactive
approach, high professionalism in such
areas as taxation, antimonopoly legislation,
pharmaceutical sector regulation, transfer
pricing and taxation issues of permanent
representative offces.
© 2018 KPMG. All rights reserved.
4 KPMG Services for Pharmaceutical &
Medical Technology Companies
KPMG’s Global
Pharmaceuticals & Medical
Technology Practice
Our aim is to provide high KPMG Strategy
quality services by contin- KPMG services are aimed at providing applicable and practical solutions
uously sharing experiences taking into account legislative requirements and changing needs of the
and knowledge between sector companies.
our global teams and by KPMG specialists from various countries of the world assist clients in
improving the best practic- implementing such tasks as changing the management structure, ensuring
compliance of companies’ activities with local legislative requirements,
es and practical strategies
supply structure optimization, undertaking mergers and acquisitions,
that assist our clients in information systems implementation and optimization.
achieving their goals.
KPMG’s Pharmaceuticals & Medical Technology team with its extensive
experience and sector specifc insights is constantly raising its professional
level by following key trends in the sector development and legislative
changes and by exchanging experience. This ensures a high quality of
KPMG services regardless of our clients’ location and complexity of the
challenges we are facing.
Examples of pharmaceutical and medical technology companies
that are KPMG clients in Russia and the CIS
Audit
– Biocad – Martin Bauer – Merck – Pfzer – Roche – Takeda –
Astra Zeneca – Katren – Dr. Reddy’s – Fresenius

Advisory services
– Bayer – Fresenius Kabi – NovaMedica – Novartis – Sanof-Aventis – Teva

Tax advisory services
– Astellas Pharma – GlaxoSmithKline – Glenmark – Johnson & Johnson
– STADA – Private joint stock company Biofarma
© 2018 KPMG. All rights reserved.
KPMG Services for Pharmaceutical & 5
Medical Technology Companies
KPMG in Russia and the CIS
* RA Expert, Largest Audit Groups and
Networks by Audit Revenue ranking,
2016
St. Petersburg
Lvov Minsk Moscow 27 years in Russia
Kiev Voronezh Nizhny Novgorod More than 4,500
Kazan Perm specialists
Rostov-on-Don CIS:
Ufa Yekaterinburg 9 countries
Novosibirsk Krasnoyarsk 24 offces
Tbilisi Atyrau
Yuzhno-
Yerevan Astana Sakhalinsk
Baku
Vladivostok
Tashkent Almaty
KPMG in Russia and the CIS
Bishkek
– Russia – Kazakhstan
– Belarus – Kyrgyzstan
– Azerbaijan – Ukraine
– Armenia – Uzbekistan
– Georgia
© 2 02 8 10K1P8 MKPGM . AGl.l A rlil grihghtsts r reesservveedd. .
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6 KPMG Services for Pharmaceutical &
Medical Technology Companies
KPMG services for various lines
of business
Tax
– Corporate & Business Tax
– International Tax
– Transfer Pricing
– Indirect Tax
– Technologies in Tax
– Corporate Tax Compliance in Russia and abroad
– Audit of fnancial statements prepared in – Tax Audit
accordance with international fnancial – Personal Taxation and HR Consulting
reporting standards (IFRS, US GAAP)
– Audit of fnancial statements prepared KPMG Law
in accordance with Russian accounting – Transaction support
principles (RAP) – Legal Support for IPOs, Restructuring
– Audit Based Services – Dispute Resolution
– Accounting Advisory Services – Legal Due Diligence
– Antitrust Compliance
Audit – Corporate Registration and
Tax and Legal Restructuring
– Drafting and implementation of
Employee Incentive Plans
Management consulting
– Finance & Treasury Management
– IT Advisory
Advisory – Operational Excellence
– Strategy
Deal Advisory
– Transaction Services
– Lead M&A Advisory
– Valuations
Risk Consulting
– Financing
– Financial Risk Management
– Restructuring
– Forensic
– Integration & Separation
– Corporate Governance & Sustainability
– Internal Audit, Risk & Compliance Services
For the purpose of enhancing the effciency of services for international clients, KPMG
created National Desks (Chinese, Singapore, Japanese, Korean, Italian, German, Iranian
and Turkish Desks) where both local and foreign experts work.
© 2018 KPMG. All rights reserved.
KPMG Services for Pharmaceutical & 7
Medical Technology Companies
Audit
KPMG services include:
An independent audit of
fnancial statements increases
reliability of information
prepared by organizations Audit:
for their investors, lenders – Audit of fnancial statements
and other interested parties
pursuant to the applicable Internal audit:
laws. – Independent assessment of the internal audit function
KPMG Audit department – Creation of an effcient internal audit function
not only gives its clients
reasonable assurance that their Accounting and reporting services:
fnancial statements contain – Support in the implementation of “turnkey” information systems or
no material misstatements but management of implementation projects
also provides its opinion on – Ensuring preparation of IFRS fnancial statements
certain matters that fall outside
– Improving the quality of accounting and reporting
the scope of an ordinary
auditor’s report.
Corporate governance:
At present IFRS fnancial – Improving the management system by introducing optimization
statements audited by measures in sustainable development, corporate social responsibility
KPMG are a must-have for and environmental protection
effcient communication with – Improving the corporate system of risk management
international and Russian
partners and for discussing – Increasing the effciency of investor relations and upgrading
the credit rating
various forms of fnancing
current or future projects. – Preparation of annual reports and sustainable development reports
Selected projects:
Pfzer Roche Terumo NPK Katren
Corporation
RAS and US GAAP RAS Audit RAS Audit RAS and IFRS audit
audit
2010−2015 2005−2015 2013−2015 2010−2015
NovaMedica Merck Martin Bauer GE Healthcare
IFRS audit RAS and IFRS audit IFRS audit RAPS and IFRS audit
2012−2015 2010−2015 2005−2015 2009−2015
© 20 21081 K8 PKMPMGG. A. All lrl irgighhttss r reesseerrvved.
8 KPMG Services for Pharmaceutical &
Medical Technology Companies
Tax advisory
KPMG services include:
services
– Corporate & business tax
KPMG provides its clients – Developing and implementing tax accounting systems
with services related to the
development of business – Tax dispute resolution
structures and strategies – Customs regulation
while optimizing tax expenses,
including: – HR management and taxation of individuals
– d evelopment and – Indirect taxation
implementation of tax-effective – M&A tax advisory services
operational, contractual and
fnancial structures; – Transfer pricing
– s upport in receiving tax
privileges in the process
of investment projects Selected projects:
implementation;
– i dentifcation and assessment
of tax risks (due diligence);
– s upport during tax audits, GlaxoSmithKline Roche Diagnostics Besins Healthcare Astellas Pharma
development of a defense
position and representation of Vearsifsecastsimone onft taanxd l iaadbviliictiee s rPergeapradriinngg nae lweg parl oovpisinioionns aAnnda lfynsiasn ocfia tlr manosdfeerl inpgri coinf ga Atdaxvaistoiorny saenrdv isceecst orn
clients in tax disputes on pre- ionn R tuasxs rias,k Ks amzaitkighastiaonn, pforor creugreumlateingt pthroec peussb linc new opeirna tRiounsasli as tructure regulation
trial and trial phases; Ukraine, Armenia the RF
– a nalysis of compliance with
regulatory requirements 2011−2015 2014 2014 2013−2015
and development of
appropriate policies and rules
(interaction with medical staff,
advertising and promotion of
pharmaceuticals, essential Smith & Nephew Aspen Pharmacare Paul Hartmann Akrihin
drugs pricing regulation);
Advisory services on a Advice on tax and Preparation of objections Development of internal
– a nalysis and preparation of wide range of issues regulatory aspects of to a tax audit report, policies and rules on the
related to expanding the commercial activities in representation and company’s interaction with
transfer pricing documentation. operational structure in Russia successful defense of the medical staff
Russia client’s interests at the
pre-trial stage
2013−2014 2014−2015 2015 2015
A Russian producer of
Confdential biopharma-ceutical
products
Advice on tax aspects of
ch
satrnugcitnug
br uets hoienf eoas pRseurastsiioanna l aDmndeit vfiegnlaoatpnemc riiaeslkn sstt roruefc lhatutoerldedis nt ogto
deoffshorization legislation
2015 2015
© 2018 KPMG. All rights reserved.
KPMG Services for Pharmaceutical & 9
Medical Technology Companies
Legal KPMG services include:
advisory
– Full legal support of transactions both locally and globally (acquisition
of companies and assets, JV establishment, disposal
services of non-core assets)
– Legal support of business restructuring
Experience of the KPMG
legal team in implementing – Due diligence of assets
pharmaceutical and medical – Development and assistance in implementing effcient corporate
technology projects ensures governance schemes
high effciency of business
management, mitigation of any – Representation in disputes
risks related to acquisition of
assets and application of legally
appropriate methods for investor
protection. Selected projects:
Our legal experience includes:
– l egal structuring of
transactions, contractual
relations, joint ventures and Aspen Healthcare Martin Bauer Paul Hartmann AG GlaxoSmithKline
production projects; Legal, tax and regulatory Analysis of legal and Support in developing Support in developing the
support in changing the tax consequences of the defense line and corporate system of cash
– d eveloping a corporate legal structure in the RF various options for group calculations provision in a pooling
reorganization in the RF commercial dispute
governance structure;
– a dvice on anti-monopoly
legislation issues; 2013−2015 2014 2013 2015
– l egal due diligence;
– s upport during participation in
public procurement;
– s tructuring and legal support of Confdential Alliance Biomedical Qiagen PSI
PPP projects; Ltoe gpalal ndnued d ailicgqeuniscieti orenl aotfe ad oAfd av icoer opno rlaetgea cl osnefttilcetm weintht estabLlisehgianlg s ua pjopionrtt vine nture asLseigstaal ndcuee ind ilcigheancgein, g
Russian business the other participant of the (Russia-Netherlands), the operational structure
– r egistration of Russian limited liability company including contractual of the business and
companies, branches and support contractual support
representative offces of
foreign companies.
2015 2015 2015 2015
© 20 21081 K8 PKMPMGG. A. All lrl irgighhttss r reesseerrvved.
10 KPMG Services for Pharmaceutical &
Medical Technology Companies
Deal
KPMG services include:
Advisory
– M &A support
Our team is one of the biggest – A ssistance in raising fnance
and most experienced ones
in the feld of M&A advisory – B usiness plans and fnancial models development
(including due diligence), – B usiness valuation
business valuation, raising
fnance and restructuring. – D ue diligence
A global network of deal – B usiness restructuring services
advisory professionals:
more than 7,300 – S upport of PPP projects
specialists around the
world.
Selected projects:
A single team in Russia
and the CIS: more than
250 professionals in
Moscow, St.Petersburg,
Kiev, Baku, Yerevan,
Tbilisi, Almaty and RB COorpioolara-KtiDon phMaramjoarc Ienudtiaicna ls Confdential
MAsotraen ath oafnf c11e5s. deals in S
incucopglrupoedo iardntss gis n def uists neotrclflii tbnmiougnte iasod ninoc,oaf nla - RSuuspspiaoncrto d miniv pissaeinollynin ogf t thhee aScuqpupiroinrptg br inaou sdsthinumeec ipsleasrror Rceussss ioafn Dnemevgopeodllaotenipalsmt iaoaenndst fwsounfi tpabhnpu cbosiaraitnnl eiknss s
Russia and the CIS since leading fnancial advisor regarding projects of
of the deal, pre-sale pharmaceuticals plants
the beginning of 2014 due diligence and tax construction in Russia
and 542 for the past 5 structuring
years. 2015 2014 2014 2014−2015.
Signifcant experience in
the pharmaceuticals and
healthcare sectors.
Major international
Protection of a client’s Confdential Confdential Confdential pharmaceutical
company
interests at every stage
Due diligence of a group Assistance in a potential Advice on planned Advice on a planned
of a deal. of companies producing acquisition of a Russian investments related to a acquisition of a Russian
medicinal cosmetics and biopharmaceutical major pharmaceuticals pharmaceuticals producer
dietary supplements company producer in Russia
2014 2013 2013 2013
© 2018 KPMG. All rights reserved.