It was no secret that Biogen Idec (BIIB)
wanted to gain 100% control of the successful MS drug Tysabri, but it
was likewise no secret that the company had virtually no interest in
acquiring its partner Elan (ELN).
As a result, Wednesday's announcement that Biogen Idec will buy all
rights to Tysabri looks like a win for the company, provided the drug
continues to grow.
The question is whether Elan shareholders will
really benefit from this deal. Pulling forward the Tysabri revenue
stream certainly de-risks part of the story, but now investors have to
contend with the question of how management will handle that cash. At
this point, I'm not optimistic as the plans laid out by Elan management
suggest that they have a much higher opinion of their capabilities than
the facts would seem to support.
Please continue here:
Post-Tysabri, Will Elan Waste The Windfall?
Showing posts with label Spectrum Pharmaceuticals. Show all posts
Showing posts with label Spectrum Pharmaceuticals. Show all posts
Friday, February 8, 2013
Friday, December 16, 2011
Investopedia: The Top Biotech Performers of 2011
This has really been a year of the "haves" versus the "have nots" in biotechnology. Although a few dedicated biotech ETFs have done rather well and there have been some huge individual outperforming stocks, the sector as a whole has not necessarily been all that strong. Still, for those companies that could deliver encouraging data, particularly in the fields of hepatitis and cancer, the market was more than willing to reward the stocks with a higher valuation.
Hepatitis C - The Story of 2011
If any one theme should leap out at biotech investors in 2011, it is the explosion of interest in companies targeting hepatitis C. It is not as though hepatitis C is a new disease, but a host of companies have finally developed compounds that look to offer major improvements in disease management and quality of life for the millions of people with this condition.
Two of the top three performing biotechs with current market capitalizations above $250 million are hepatitis C plays. Pharmasset (Nasdaq:VRUS) has delivered the sort of year that biotech investors dream about for 2011, with the stock up nearly 500% in the last year. The stock was already doing incredibly well on the basis of very strong clinical data in PSI-7977 trials - data that basically showed 100% response in early administration of the drug. This stock found another level, though, when Gilead Sciences (Nasdaq:GILD) stepped up and offered to pay a considerable premium to acquire the company.
To read the full article, click here:
http://stocks.investopedia.
Hepatitis C - The Story of 2011
If any one theme should leap out at biotech investors in 2011, it is the explosion of interest in companies targeting hepatitis C. It is not as though hepatitis C is a new disease, but a host of companies have finally developed compounds that look to offer major improvements in disease management and quality of life for the millions of people with this condition.
Two of the top three performing biotechs with current market capitalizations above $250 million are hepatitis C plays. Pharmasset (Nasdaq:VRUS) has delivered the sort of year that biotech investors dream about for 2011, with the stock up nearly 500% in the last year. The stock was already doing incredibly well on the basis of very strong clinical data in PSI-7977 trials - data that basically showed 100% response in early administration of the drug. This stock found another level, though, when Gilead Sciences (Nasdaq:GILD) stepped up and offered to pay a considerable premium to acquire the company.
To read the full article, click here:
http://stocks.investopedia.
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