BMS & Medarex: a Valuable Partnership?
A positive move, but not one which deals with Bristol-Myers Squibb’s upcoming patent expiry problems
On July 22, 2009, Bristol-Myers Squibb announced that it would acquire – at a considerable premium – biopharmaceutical company Medarex for US$2.4 billion. The deal secures rights for Bristol-Myers Squibb to the anti-cancer monoclonal antibody product ipilimumab, plus related revenues from Medarex’ licensing deals and portfolio. However, ipilimumab is still in Phase III trials and results are not expected until mid to late 2010.
Patent Expiry and Competition – a bigger headache
Bristol-Myers Squibb’s main blockbuster product, the anti-clotting product Plavix (clopidogrel) loses patent protection in 2011. But that is not the end of the company’s problems, as recent events demonstrate:
May 29 2009 - The European Medicines Agency stated that its scientific committee issued positive opinions for six generic versions of Plavix. The recommendations were given to products filed by Teva, Acino and Pharmathen.
July 10 2009 – The FDA announced approval of Eli Lilly and Daiichi Sankyo's much-anticipated antiplatelet agent Effient (prasugrel) for the reduction of the risk of formation of blood clots in patients who undergo angioplasty.
In addition, Bristol-Myers Squibb will lose patent protection on Avapro (irbesartan) in 2011 and Abilify (aripiprazole) in 2012 – in short, revenues from three of its best-selling products are under threat.
Is the Medarex deal a knee-jerk reaction or part of a planned growth strategy? What options does Bristol-Myers Squibb have?
See the deal in the broader context of Bristol-Myers Squibb’s operations
For an assessment of this important development, turn to the FirstWord Dossier report Bristol-Myers Squibb and Medarex: a valuable partnership? Using primary source data and information, this executive briefing presents a timely and easy-to-read review, which puts the deal into its corporate and market context.
This report answers key questions:
On July 22, 2009, Bristol-Myers Squibb announced that it would acquire – at a considerable premium – biopharmaceutical company Medarex for US$2.4 billion. The deal secures rights for Bristol-Myers Squibb to the anti-cancer monoclonal antibody product ipilimumab, plus related revenues from Medarex’ licensing deals and portfolio. However, ipilimumab is still in Phase III trials and results are not expected until mid to late 2010.
Patent Expiry and Competition – a bigger headache
Bristol-Myers Squibb’s main blockbuster product, the anti-clotting product Plavix (clopidogrel) loses patent protection in 2011. But that is not the end of the company’s problems, as recent events demonstrate:
May 29 2009 - The European Medicines Agency stated that its scientific committee issued positive opinions for six generic versions of Plavix. The recommendations were given to products filed by Teva, Acino and Pharmathen.
July 10 2009 – The FDA announced approval of Eli Lilly and Daiichi Sankyo's much-anticipated antiplatelet agent Effient (prasugrel) for the reduction of the risk of formation of blood clots in patients who undergo angioplasty.
In addition, Bristol-Myers Squibb will lose patent protection on Avapro (irbesartan) in 2011 and Abilify (aripiprazole) in 2012 – in short, revenues from three of its best-selling products are under threat.
Is the Medarex deal a knee-jerk reaction or part of a planned growth strategy? What options does Bristol-Myers Squibb have?
See the deal in the broader context of Bristol-Myers Squibb’s operations
For an assessment of this important development, turn to the FirstWord Dossier report Bristol-Myers Squibb and Medarex: a valuable partnership? Using primary source data and information, this executive briefing presents a timely and easy-to-read review, which puts the deal into its corporate and market context.
This report answers key questions:
- To what degree will the Medarex deal affect Bristol-Myers Squibb’s financial performance?
- Will the deal affect industry speculation that Bristol-Myers Squibb itself is a target for takeover and which drugmaker is the most likely and logical candidate as a parent company?
- With whom does Medarex have licensing arrangements, and for what products?
- What plans are there to work with partner Otsuka Pharmaceutical on Abilify?
- What does Bristol-Myers Squibb’s late-stage pipeline look like?
COMPANY BACKGROUND
STRING OF PEARLS STRATEGY
ACQUISITION TIMELINE
MEDAREX ACQUISITION
OTSUKA PHARMACEUTICAL AND ABILIFY
PRODUCTIVITY TRANSFORMATION INITIATIVE
EMERGING MARKET STRATEGY
BRISTOL-MYERS SQUIBB IN THE INDUSTRY
PIPELINE DETAILS
2009 - RECENT AND UPCOMING EVENTS
BRISTOL-MYERS SQUIBB PIPELINE
MEDAREX PIPELINE
Strategic Assets in Clinical Development
Selected Financial Assets in Late-Stage Clinical Development
US AND INTERNATIONAL PHARMACEUTICALS NET SALES BY KEY PRODUCTS
STRING OF PEARLS STRATEGY
ACQUISITION TIMELINE
MEDAREX ACQUISITION
OTSUKA PHARMACEUTICAL AND ABILIFY
PRODUCTIVITY TRANSFORMATION INITIATIVE
EMERGING MARKET STRATEGY
BRISTOL-MYERS SQUIBB IN THE INDUSTRY
PIPELINE DETAILS
2009 - RECENT AND UPCOMING EVENTS
BRISTOL-MYERS SQUIBB PIPELINE
MEDAREX PIPELINE
Strategic Assets in Clinical Development
Selected Financial Assets in Late-Stage Clinical Development
US AND INTERNATIONAL PHARMACEUTICALS NET SALES BY KEY PRODUCTS
