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Statutory Report on Corporate Social Responsibility 2020

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Statutory Report on Corporate Social Responsibility 2020 Growing as a leader in peptide therapeutics Zealand Pharma Corporate Responsibility Report 2020 Company reg. no. 20045078 Contents Zealand Pharma ∞ Corporate Responsibility Report 2020 2 Contents Corporate Responsibility Report 2020 Changing lives 3 Transforming peptides 4 Our business model 5 Focus on Corporate Responsibility 6 Our People 7 Quality 10 Patients 11 Environment 13 Ethics 14 About this Report This statutory report on corporate social and environmental responsi- bility is for the financial year 2020, cf. section 99a and 99b of the Danish Financial Statements Act. This report is a supplement to the management’s review in the Annual Report 2020 covering the period January 1 to December 31, 2020. Changing lives Zealand Pharma ∞ Corporate Responsibility Report 2020 3 Changing lives We work every day with patient There are over 300 million people living with communities and thought leaders one or more of over 6,000 identified rare to change the lives of people with diseases around the world1, each supported Peptides have proven severe medical conditions. by family, friends and a team of to be effective drugs caregivers that make up the rare in a number of disease community. Many of these different diseases, with diseases are life threatening, with significant untapped no available therapy to help these potential across many patient groups therapy areas.² SDG 3: Ensure healthy lives and promote well- being for all at all ages We are passionate about changing the lives of people with severe medical conditions through targeted development of Our ambition is to be next generation peptide a world leader in treating therapeutics. specialty metabolic and gastrointestinal diseases. We intend to deliver best in-class treatment options that Find out more about Zealand at ¹ INSERM (Institut national de la santé et de la recherche médicale). (2019, October 24). meet patient medical needs and ease the zealandpharma.com/csr Rare diseases: Over 300 million patients affected worldwide. ScienceDaily. burden on the health care system. 2 J. Lau and M. Dunn, Therapeutic peptides: Historical perspectives, current development trends, and future directions. Bioorganic & Medicinal Chemistry, version 26, issue 10, 1 June 2018, p. 2700-2707. Transforming peptides Zealand Pharma ∞ Corporate Responsibility Report 2020 4 Discovering and optimizing peptides Zealand Pharma in brief Transforming to create new medicines For more than twenty years, Zealand has been success- peptides fully optimizing peptide hormones to confer the neces- sary properties to be a safe and effective drug. We leverage our 20 years of 20+ years in biotech Peptides represent a growing therapeutic modality experience discovering and Founded 1998 in Copenhagen, with over 60 approved and marketed peptide drugs locations in Boston and New York developing peptide drugs to and many more in clinical development. Zealand uses transform peptide projects into next its unique in depth understanding of peptide chemistry generation therapeutics. and biology to focus the substitution process on key amino acids to remove the weak points that result in poor solubility, stability or activity, and thus create new drug candidates. Leading peptide platform A world leading peptide platform, We have four late stage programs with the potential to with two medicines on the market launch into major markets over four years beginning in 2021. Three of these programs are based on dasigluca- gon, a stable glucagon analog: a new drug application was submitted in 2020 for treatment of severe hypo- glycemia in diabetes; ongoing Phase 3 for treatment of the rare pediatric condition, congenital hyperinsulinism; and Phase 3 planned for use in bi-hormonal fully Four potential launches automated pump therapy for management of type 1 in four years diabetes. Our fourth late stage program is ongoing Accelerating late stage programs Phase 3 with glepaglutide, a long-acting GLP-2 analog to launch new products into for treatment of short bowel syndrome. Our early major markets beginning in 2021 development pipeline includes a GLP-1/ GLP-2 agonist for treatment of short bowel syndrome in Phase 1, two clinical programs partnered with Boehringer Ingelheim, and one pre-clinical program partnered with Alexion Pharmaceuticals. We continue to leverage our estab- lished peptide platform, which has already led to two Find out more about Zealand at approved medicines and provides multiple opportuni- Experienced team 329 employees of which zealandpharma.com/about-us ties for near-term pipeline expansion. 53% are in R&D Our business model Zealand Pharma ∞ Corporate Responsibility Report 2020 5 First, we aim to retain full ownership and control of (CROs) and contract manufacturing organizations Our business product candidates all the way to market in selected (CMOs), and distribution partners. geographies. Alternatively, we may progress clinical model development ourselves to the point at which it makes Upon completion of the assets of Valeritas Inc we business sense to engage in partnerships that expand acquired an established sales force and infrastructure To deliver best-in-class treatment the opportunity and probability of success by providing to assist with our first launch. Our new sales force additional resources and investment. in the United States follows our aim of retaining full options that meet patient needs control of our current and future products. and ease burden on the health care Our agile organization engages with partners across system, we utilize a business model the value chain, such as academic and scientific with two approaches. institutions, leading contract research organizations Optimizing value through internal drug development and partnerships Contract Research Contract Optimizing Academic and Organizations Manufacturing Distribution execution across Scientific Institutions (CROs) Organizations (CMOs) Partners the value chain Internal Drug Development Maintaining full control and value potential Peptide Research Early and Late Approved Platform Stage Drug Medicines to Development Patients Expanding the innovation platform Find out more about Zealand at Drug Development in Strategic Partnerships zealandpharma.com/strategy Focus on Corporate Responsibility Zealand Pharma ∞ Corporate Responsibility Report 2020 6 Focus on We aim to do this by: Corporate Responsibility As we work toward realizing Enabling health, Focusing Conducting Working actively Communicating our our ambition of becoming a fully well-being, and collaboration with business according and systematically CSR policy openly integrated biotech that improves competency advocacy groups to the highest to minimize our and honestly to care for patients and maximizes development of our to consolidate ethical standards impact on the external collaboration employees, while relations and environment and partners, including value for our shareholders, ensuring a safe obtain better climate our suppliers and we recognize the importance workplace treatment options starting to engage of protecting the world around us for patients them on their CSR and understanding our role polices and how we with a broader audience. can work together. We believe in operating as a These are our guiding principles for corporate responsibility, upon which responsible company that serves we have formulated our policies specified throughout this report. broader economic, societal, and environmental interests. Reporting framework Engaging our organization Scope of our reporting We adhere to requirements of the Danish To ensure the the importance of en- In 2020, with the acquisition of the Financial Statements Act, and comply vironmental, social and governance Valeritas assets, Zealand acquired one with relevant laws, standards and guide- responsibility is understood and acted new site in Marlborough Massachu- lines for reporting on corporate social upon throughout our organization, we setts which together with our Boston responsibility activities. We respectfully established a CSR steering committee and New York City sites in the United adhere to the UN Guiding Principles on comprised of senior representatives in States and our site in Soborg, Denmark Business and Human Rights. In last year’s the company. This committee will work represent our locations across the world. report, we incorporated selected UN to facilitate initiatives that increase our Where possible we have included them Sustainable Development Goals that are contributions in corporate responsibili- in our reporting. aligned with our business impact and ty, and to improve transparency on the connect Zealand’s efforts with those activities. of other companies to address global challenges. Our People Zealand Pharma ∞ Corporate Responsibility Report 2020 7 Highly qualified and motivated employees are a pre- Zealand Pharma employees in brief Our People requisite for achieving the ambitious Zealand busi- ness goals. A diverse workforce enhances innovation At Zealand, employees are our most and increases our ability to work cross-culturally. 47.1 important resource. We aspire to Ensuring every employee has opportunity to improve upon their existing strengths while developing skills The average age of Zealand attract, develop and retain the best is critical to attracting and retaining qualified and employees at the end of 2020 people and to be a company where engaged employees. (2019: 46.1) every employee thrives. We strive to ensure our employees’ well-being and have a number of policies in place to promote phys-
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