SPECIAL REPORT - Fueling the Drug Discovery Engine: Biotech Investment and Business Trends

Published by: Decision Resources

Published: Jun. 24, 2008 - 50 Pages

Table of Contents

Executive Summary

Strategic Considerations

Introduction

Corporate Partnerships

Lead Identification

Therapeutic Platforms

Discovery Platforms

Lead Development

Partnering Strategy in Lead Identification and Development

Target Identification and Target Validation

Biomarkers

Lead Optimization

Mergers & Acquisitions

Pharmaceutical Mergers & Acquisitions

Biotechnology Mergers & Acquisitions

M&A: The New IPO

Biotechnology Financing

Venture Capital

Large VC Investments

Series A and Seed Financings

Initial Public Offerings

Drug Discovery Innovation

Outlook

Investor Infl uence in Biotech

M&A: Aligning Interests

Evolving Industries

Tables

1. Select High-Value Lead Identification Partnerships, 2007

2. Select High-Value Lead Development Partnerships

3. Select Biomarker Deals, 2007

4. Select Pharma-Pharma and Pharma-Biotech Mergers and Acquisitions, 2007

5. Select Biotech-Biotech Mergers and Acquisitions, 2007

6. Select Venture Capital Investments in Biotech, 2007

7. Select Series A Venture Capital and Seed Investments in Platform Technologies, 2007

8. Select Biotech Initial Public Offerings, 2007

9. Select FDA-Approved New Molecular Entities with Novel Mechanisms-of-Action, 2000-2007

Figures

1. Alliance Categories for Corporate Partnerships Potentially Worth At Least $1 Billion, 2007

2. Development Phase of Top Lead Development Deals in 2007

3. All Life Science Mergers and Acquisitions, 2002-2007

4. Mergers and Acquisitions Among Pharmaceutical, Biotechnology, and Related Life Science Companies by Deal Value, 2007

5. Investment Sizes of All Life Science-Related Venture Capital Investments, 2007

6. Series A/Seed Financings in Biotechnology Platform Technologies, 2007

7. Combined 2007 Sales of FDA-Approved New Molecular Entities (NMEs) with Novel Mechanisms-of Action, 2000-2007

Abstract

• Promising new therapies and drug discovery approaches are on the horizon, but drug developers face unprec- edented challenges in a changing drug discovery landscape. What challenges confront both the pharmaceutical and biotechnology industries? What challenges are particular to each industry? What strategic choices are companies making today to advance drug discovery and ensure their long-term prosperity?
• In 2007, corporate partnerships between biotech and pharmaceutical companies for platform technologies surged. What factors account for pharmaceutical companies’ renewed interest in platform technologies? Which technologies have attracted the greatest interest, and why? Which companies were involved in 2007’s highest-value partnerships? How will these alliances advance drug discovery and innovation?
• M&As among pharmaceutical, biotechnology, and related life science companies have surged from 110 deals in 2002 to 315 deals in 2007. Which pharmaceutical companies completed the highest-value biotech acquisitions in 2007? What will they gain? Do the same motives drive biotech companies’ M&As? What does it mean to call M&A “the new IPO”?
• Private and public financing is the engine that drives biotechnology companies—most cannot sustain them- selves without it. How do investors infl uence the direction of the biotech industry? What is the most important factor in large investment decisions? What do the largest venture capital deals of 2007 reveal about trends in drug discovery financing?
• Industry critics charge that pharmaceutical companies are lacking in innovation, but the industry has launched many innovative drugs in recent years. Which recently launched new molecular entities (NMES) operate on novel targets or through new mechanisms of action? How have these drugs performed in the marketplace? What are the benefits and risks of developing first-in-class novel NMEs?

• Corporate partnerships: within and across pharma and biotech industries; high-value partnerships, 2007 and 2008; lead identification, development, optimization; target identification, validation; therapeutic and discovery platforms; biomarkers.
• Mergers & acquisitions: M&A surge in 2007; high-value pharmaceutical M&As; pipeline-driven, high-value biotechnology M&As; M&A as the “new IPO.”
• Biotechnology financing: venture capital; large VC investments; Series A and seed financings; IPOs.
• Drug discovery innovation: pharmaceutical industry under fire; NMEs approved, 2000-2007; novel approaches to cardiovascular disease, diabetes, other diseases; sales of new drugs.
• Outlook: investor infl uence in biotechnology; M&As: aligning interests; evolving business models.

About MarketResearch.com
MarketResearch.com is an online aggregator selling over 160,000 market research reports, company profiles and country profiles from over 600 research firms. Our reports will provide you with the critical business and competitive intelligence you need for strategic planning and marketing research. Coverage includes the US, UK, Europe, Asia and global markets.