September 30, 2015

U.S. company to establish a manufacturing plant and training center in Brazil, in a prime condominium located near São Paulo city.

The city of Jundiai, located 60 kilometers from the capital city of Sao Paulo, has been selected by US-based Varian Medical Systems, a company that is operating in Brazil since the 1970s, to headquarter a manufacturing plant and their first training center with transfer of radiotherapy know-how and technology in Latin America. This will be the company’s third plant to be established in the world. The production unit will manufacture linear accelerators, which are used to deliver radiotherapy treatments for cancer.

JLL’s Transactions, Global Clients advised Varian in the acquisition of the nearly 17,000 sqm site, located in the prime condominium Multivias II Polo Industrial e Logístico.

We are very happy with the advisory and agency services performed by JLL. The JLL team provided us with all the technical support for negotiating the best deal,” says Varian’s director Humberto Izidoro.

As the site search was a confidential project at the time, as the name of the purchaser could not be disclosed, the credibility of the JLL brand and of the executives involved in the agency has been crucial in negotiating with the property owners. “Thanks to a team work based on the strength, ethics and seriousness of our brand, we were able to deal with this and other situations and to help the client acquire the site that most appealed to them from a short list of great options,” says JLL’s regional director Pedro Candreva.

The city of Jundiai and the site in the Multivias condominium met all Varian’s requirements regarding location, security, easy access, skilled labor, proximity to top universities and [a range of] amenities,” says JLL’s industrial [site] specialist Rafaela Camacho.

In addition to the manufacturing plant, Varian will also establish a training center for physicians and other healthcare professionals that will operate the equipment.

Therefore, besides being close to an excellent road network and to Viracopos Airport, in Campinas, and with easy access to Guarulhos International Airport, Jundiai is a city with a full infrastructure in place, including plenty of hotels to accommodate the healthcare professionals during the training programs.

According to Global Clients manager Marco Lacayo, JLL provided full support to Varian’s executives for a safe and efficient [site] selection. “We prepared a complete presentation on demographics, labor, transport, hotels, infrastructure, universities, tax incentives, and land prices in seven important cities in the Sao Paulo State. And we took the executives to visit 10 properties of a list of 21 options.”

Radiotherapy expansion

Planned to start operations in 2018, Varian’s new manufacturing plant in Brazil is part of a technology transfer agreement signed by the Health Minister in July 2015 as a result of the Radiotherapy Expansion Plan of SUS (the Brazilian National Health System), which was launched in 2012. The Ministry of Health is investing R$ 500 million in the purchase of radiotherapy equipment to meet demand across the country. The agreement includes training of healthcare professionals, maintenance of the equipment, and construction of units for operation of the equipment.

The expectation is to deliver over 50 courses and train over 1,000 healthcare professionals from Brazil and other Latin American countries per year. The agreement also includes the creation of a training course for radiotherapy professionals and software development. The goal is that the end product has a minimum of 40% components, accessories and software made in Brazil.

This is an innovative project in terms of concept because it involves the transfer of technology. After [the Ministry of] Aeronautics, which had the first [transfer of technology] experience in the purchase of fighter jets, this is the first such project in the civil sector. We are committed to achieving good results and we expect this model can be expanded into the healthcare and other areas,” says Humberto Izidoro.

According to the Ministry of Health, the expansion of radiotherapy is a structuring and fundamental process for patients. The establishment of Varian’s manufacturing plant and training center in Jundiai aims initially to meet demand in Brazil and be perhaps a business platform for the whole Latin America region.

Photo by Rafaela Camacho