As drug patents begin to expire, pharma is looking for ways to fill the pipelines and biotech drugs appear to be one of the hottest avenues to fill the pipelines, we recently saw Cougar Biotech purchased by J and J. One thing I think we forget about though is that we don’t have the lock on cancer research here in the US and we are in the age of the internet and transparency. If it doesn’t get done here, we are finding it gets done somewhere else outside the US.
If we price ourselves out of the market, you can almost be assured it will get done somewhere else, whether it’s another company or moving the biotech company offshore, either and/or can happen. With Roche, layoffs are already starting since the Genentech acquisition, and it’s just a sign of the times and there’s the competition from bio-similar drugs on the horizon which would offer similar drugs at a much lower price. Competition is fierce today, more so than it has ever been and will continue, so the dollar amounts of value we place on research and development are sure to come under the same levels of monetary adjustment as what has happened in almost every other industry. I have seen just about every type of intellectual property or parts there of leaked on the web and when dollars are high it makes one wonder as desperation sets in and drugs are priced out of the reach of citizens, how much more of this will happen, again in the biotech business where lives are at stake. BD
Bristol-Myers Squibb offered to buy its biotech partner ImClone Systems for $4.5 billion in cash yesterday, seeking to return to its days as a top cancer drug producer and to transform itself into a next-generation biopharmaceutical company.
Bristol, which already owns about 17 percent of ImClone and has teamed with the New York biotech to develop a cancer drug, delivered its proposal to ImClone Chairman Carl C. Icahn. Bristol, which is also based in New York, proposed purchasing the remaining ImClone stock at $60 a share, a 30 percent premium over Wednesday's closing stock price.
Hat Tip: Pharmagossip