KUALA LUMPUR (Dec 14): Malaysian Biotechnology Corporation (BiotechCorp) hopes to bring in RM500 million in investments into the pharmaceutical park that will be built in Alor Gajah, Malacca.

The park will be set up by BiotechCorp, DRB-Hicom Bhd, Melaka Biotechnology Corporation Sdn Bhd and Capipharm Development Sdn Bhd, as a public private partnership (PPP) model.

BiotechCorp’s chief executive officer Datuk Dr Mohd Nazlee Kamal said the pharmaceutical park will create a specialised ecosystem to support the country’s bioeconomy.

“We are talking to several interested parties to invest in the pharmaceutical park, though I can’t name these parties at this juncture. We believe the location – being very near to the North-South Highway and relatively close to KLIA – will be an interesting proposition to investors,” he told the media after exchanging the collaboration proposal here today.

Also present at the ceremony were Minister of Health Datuk Seri Liow Tiong Lai and Malacca Chief Minister Datuk Seri Ali Rustam.

DRB-Hicom will invest RM100 million for the park’s facilities while the remaining RM400 million will come in the course of three years from foreign direct investment.

Construction is expected to begin the end of next year or within the first quarter of 2014.

Nazlee said the upcoming pharmaceutical park will be the first of its kind in Malaysia, as it will encompass a complete ecosystem required for the pharmaceutical industry within the 200 hectares allocated.

He said BiotechCorp is also hoping local pharmaceutical players will set up facilities in the park.

There will also be a training centre to foster local talent for the pharmaceutical industry, Nazlee told the media.

“(Building the training centre) will also drive interest among multinational pharmaceutical companies, as currently we don’t have a proper organisation to train executives in the industry. We believe that will close the gap (we currently face) in the pharmaceutical business,” he said.

Liow and Ali also witnessed the signing of a memorandum of understanding between Saudi Arabia conglomerate Al-Jomaih Holding and European multinational company, Sanofi Pasteur, to explore biomedical potentials in Malaysia.

The conglomerate, through its local associate company, AJ Pharma Holding Sdn Bhd, is pledging US$100 million as initial investment for biomedical projects in Malaysia.

India's Biocon Ltd, through its unit Biocon SA, and CCM Pharmaceutical Sdn Bhd also exchanged documents for the distribution of insulin and insulin products in Malaysia and Brunei.