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International Update

Scotland Lands Key IT, Life Sciences Investments

Two US companies announced plans in New York in early April to establish operations in Scotland. The announcements, by North Carolina-based SAS, the enterprise analytics giant, and Massachusetts-based Daktari Diagnostics Inc., a blood diagnostic testing provider, made First Minister Alex Salmond’s trade mission to the Big Apple for Scotland Week events highly fruitful.

SAS will open a new Advanced Analytics lab and expand its existing Scottish Research and Development Center for Public Security, creating 94 new jobs in the next four years and safeguarding their current employee base of 126. First Minister Salmond announced an investment package in support of the project on April 5th, including $1.7 million from Scottish Development International (SDI), a partnership between the Scottish Government, Scottish Enterprise and Highlands and Island’s Enterprise.

“SAS is a prestigious global company, and their choice not just to expand their existing site but to also expand into advanced analytics with 94 new jobs is a significant feather in Scotland’s cap,” he said. “The new facility will position Scotland as an international center of excellence for big data analytics and will create a substantial number of highly-skilled, high-value jobs.

“Scotland offers international companies a well-educated and trained workforce, competitive infrastructure and supportive government agencies, and this investment by SAS is a terrific example of how that international reputation pays off.”

Added Mikael Hagstrom, SAS executive vice president for Europe, Middle East and Africa (EMEA) and Asia Pacific (AP): “We’re proud to be building on our existing operations in Scotland. We established our global research and development team to create business applications which will help modernize law enforcement, improve public safety and enhance national security. The initial investments allowed SAS to see the real Scottish potential with access to the excellent pool of talent from Scottish universities and its strong culture of innovation. Our plans for the new SAS facility further underscore our commitment to investing in Scotland.”

Danny Cusick, President, Americas, Scottish Development International, said SAS’ decision to locate its Advanced Analytics lab in Scotland underscores the importance of the country as a hub for information technology and as a leading European center for business. “Because SAS creates software used by the world’s Fortune 500 companies, they depend heavily on ‘creative capital’ to grow their business, and we’re proud SAS can rely on Scotland to meet its talent needs. We’re confident this investment announcement will peak even more interest from tech-driven U.S. companies looking to globally expand.”

A Life Sciences Project for Inverness

The previous day, April 4th, Daktari Diagnostics announced plans to locate its global manufacturing base in Inverness, Scotland, to develop its life-saving HIV blood monitoring technology. Daktari has been in discussions with HIE and SDI about plans to locate the $15-million project in Scotland. A $3-million public sector package for relocation and workforce training is in place to create 126 jobs, and the company’s presence will build on the region’s growing expertise in research, development and production in the life sciences sector.

Daktari, which employs 40 at its base in Cambridge, Mass., develops diagnostic tests for global health conditions such as HIV, hepatitis and tuberculosis. The company’s Scottish venture could see mass production of blood testing cartridges required for CD4 cell counting, a process used in HIV monitoring, as early as next year. The system is currently undergoing clinical trials in Africa.

“Scotland has the most comprehensive national life sciences strategy in the world and the sector continues to go from strength to strength,” stated First Minister Salmond.

SDI-CEO-Anne-MacColl-with-First-Minister-Alex-Salmond-and-Dr-William-Rodriguez,-CEO-Daktari-Diagnostics-Inc

SDI CEO Anne MacColl with First Minister Alex Salmond and Dr William Rodriguez, CEO Daktari Diagnostics Inc

“I am delighted to be meeting with Daktari as part of my Scotland Week program and confirm that 126 high value jobs are coming to Inverness. Daktari’s intention to locate its manufacturing base in Scotland is a testament to our increasing reputation as a growing life sciences community and as the ideal place to invest and do business. They have been attracted to the Highlands and Islands to join an internationally renowned cluster of activity and add to a growing Scottish life sciences sector which is worth more than $4 billion to the economy annually.

Added Bill Rodriguez, M.D., president and CEO of Daktari Diagnostics Inc.: “Daktari is excited about our new CD4 count, point-of-care, portable diagnostic product for HIV patients. Inverness, Scotland, offers companies like ours considerable support and a great location, with a highly educated work force and an ability to expand rapidly to support the demand for our new product.”

Designed to monitor patients in remote clinics anywhere in the world, the battery-powered Daktari CD4 counter provides the ease of use and low cost needed by many developing and emerging countries around the world, Rodriguez explained. “We believe Daktari is well positioned to capture significant market share in the coming years.”

SDI’s Danny noted that Scotland has a long tradition of innovation in such areas as pioneering the MRI and CAT scanners, discovery of the p53 cancer suppressor gene, the cloning of “Dolly” the sheep and most recently, the potential cure for blindness. “We have worked closely with Daktari to support their decision to join Scotland’s thriving life sciences industry, which currently employs more than 32,000 people. Working alongside our partners at Highlands and Islands Enterprise, we will continue to garner global investors with a ambitious growth plans to invest in Scotland. We hope Daktari’s investment leads to even more partnerships between the U.S. and Scotland’s life sciences sectors and in turn, more life saving discoveries.”