|To: hmpa who wrote (29849)||1/16/2009 11:12:08 AM|
|From: tuck||1 Recommendation  Respond to of 40233|
|Counterpoint to Boger's comment on deal making:|
>>X: Every year, bankers like to say acquisitions and partnerships between biotech and pharma companies are going to pick up because pharma needs innovative new drugs, and biotechs need cash to develop them. Do you see this trend truly accelerating this year, and if so, why?
JB: No, I don’t think it will accelerate this year. The partnering activity will be very similar to what it was last year and the year before. There may be a couple of more dramatic moves, but I don’t think there will be a wholesale change in how companies work.
The dynamic is really still the same. The economic downturn hasn’t yet created a crisis atmosphere at pharma. They have a crisis, but it’s been the same crisis they’ve had the last few years.<<
>>Big pharmaceutical companies, faced with mounting patent expirations, are shopping around for promising assets.
"Obviously there is a lot more activity and discussions going on today than ever before," said Merck CEO Richard Clark. "From a Merck standpoint ... if there is the right-sized biotech company that is aligned strategically, it would be win-win."<<
From Deena Beasley's coverage of the JPM conference for Reuters.