Novartis, the fourth largest pharmaceutical company in the world, has zeroed in on Hyderabad for setting up its healthcare-related IT/ITES and R&D facility.
A memorandum of understanding in this regard was signed by secretary, Information Technology and Communications Department K Ratna Prabha and Novartis India vice-chairman and managing director Ranjit Sahani on Thursday evening in the presence of Chief Minister Y S Rajasekhar Reddy and Information Technology Minister P Sabitha Reddy.
Sahani pointed out that for augmenting and expanding medical care related IT/ITES/R&D activities in India, Novartis surfed different locations in Andhra Pradesh and other states.
"Impressed with the congenial atmosphere in the state, proactive and prompt response and investor-friendly policies of the government, Novartis have zeroed in on Sultanpur area around Hyderabad and requested for allotment of 150 acres of land for setting up the ITES/R&D centre," he added.
Novartis, with presence in over 140 countries worldwide, globally employs 97,000 people and has revenues of $32.2 billion. Novartis has its presence in India for the last 60 years in health care sector in Mumbai.
Novartis brand Rx-Voveran is the largest pharmaceutical brand in the country. Novartis also supports the BPL (below poverty line) families through generous access programme in the areas of tuberculosis, leprosy, malaria and cancer.
Sahani said that Novartis initially planned to employ over 1,000 IT professionals in the proposed ITES/R&D activity and ramping up the same between 3,000 and 5,000 people in the years to come. The company would invest Rs 300 crore (Rs 3 billion) to Rs 500 crore (Rs 5 billion) in this facility.
"An anchor client like Novartis not only makes Andhra Pradesh a most preferred Health Care -IT /ITES destination but also opens up the possibility of spread of IT and ITES to the other districts to provide gainful employment to the rural educated youth," Sabitha Indra Reddy said.
