A blog about chemistry, drug development, science, and technology
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While Medimmune has in the past rejected merger talks, one of its largest shareholders is urging the board to reconsider. David Katz, president of Matrix Asset Advisors think that Medimmune should sell out. Given the current environment, it is likely they could get a great deal for their assets, but this basically says there is no confidence in the current management to build the company further for the future.
I kind of agree with this assessment, while Medimmune has some good products such as FluMist and Synagis for treatment of infections in infants, they don’t seem to get the respect of the markets. While it may be worth more than the current stock price, I don’t think that David Katz figure of being worth $45 is quite realistic over the current price of $33. Look for Medimmune to investigate potential buyers but that field of large pharma is pretty small with Pfizer and GlaxoSmithKline being the primary players. Johnson and Johnson is less likely in my opinion and I seriously doubt Merck would consider this sort of acquisition now.
Technorati Tags: pharma M&A, pharmaceutical deals, Medimmune
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It is reported today that LIlly is settling even more lawsuits related to Zyprexa. They are settling over 8,000 claims for $700 million which comes to $87,500 per claim. THere are an additional 1,200 claims that Lilly will fight in court. No reasons were given for this other than the reasons were varied.
Eli Lilly settling more Zyprexa suits - Yahoo! News
What is interesting is this quote from LIlly CEO, Sidney Taurel.
“While we remain confident that these claims are without merit, we took this difficult step because we believe it is in the best interest of the company, the patients who depend on this medication, and their physicians.”
This sort of phraseology is used some commonly in circumstances where companies have been irresponsible that it basically translates to “We know we did something wrong, we’ve paid off those affected, but we refuse to take responsibility and say we were wrong.”
It would be interesting to see how often these words or ones very similar have been uttered. I’m betting it could be found in company statements from many product liability lawsuits such as the tobacco industry, the asbestos lawsuits, the Ford Pinto cars and I’m sure many more. It is disconcerting to me to see this sort of attitude be so prevalent in American companies today especially in companies with such an impact on peoples life such as the pharmaceutical industry.
Technorati Tags: Eli Lilly, olanzapine, Zyprexa
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Reducing cholesterol with the use of statin drugs is a goal that the medical community has agreed can have a major impact on health. Now, with Zocor coming off patent, there are more choices and the cost should drop significantly.
Regulators Clear 6 More Companies to Sell Generic Zocor - New York Times:
Although Teva and Ranbaxy were approved in June of 2006, they had six months exclusivity which meant that they were selling the drug for only 8% less then Merck was selling Zocor. Now there are six more companies and the prices will likely drop significantly; perhaps by 50% or more.
Current generic approvals
In June
Teva Pharmaceuticals
Ranbaxy Laboratories
This month
Cobalt Pharmaceuticals of Ontario
Aurobindo Pharma
Zydus Pharmaceuticals
Dr. Reddy’s Laboratories of India
Sandoz unit of the Swiss drug maker Novartis
Perrigo Company of Allegan, Mich
This could have an impact on other brand name statin drugs particularly Lipitor from Pfizer, the best selling of all the statin class of drugs. Many health insurance companies are certainly going to recommend that their patients ask their doctor about switching to simvastatin as a means for not only controlling cholesterol but also controlling cost. It will be interesting to see how much of an impact it does have on the sales of LIpitor. Pfizer will certainly fight this in any way they can since Lipitor is a $10 billion per year product and the patent will not expire until March of 201 and June of 2011 (depending on the crystalline form). It will definitely be interesting to see how this develops in the coming years. I don’t look for Lipitor to reach $10 billiob in sales this year.
Other Resources
FDA Approves First Generic Simvastatin
simvastatin - Yahoo! Search Results
simvastatin - Google Search
Google Blog Search: simvastatin
Technorati Tags: simvastatin, Zocor
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The mergers continue in this new year. Now Biogen Idec is acquiring Syntonix Pharmaceuticals for $40 million upfront and another $80 million based on meeting development milestones.
Biogen Idec to Acquire Syntonix: Financial News - Yahoo! Finance
Syntonix concentrates on discovering and developing long-acting therapeutic products to improve treatment regimens for chronic diseases. Their lead compound, FIX:Fc is a long acting factor IX used for treatment of hemophilia B. Being a long-acting product, it allows for a reduced number of injections. Syntonix is hopeful of filing an NDA for FIX:Fc this year.
One of the needs for biotech companies is to develop improved methods of delivery. Most biotech product are injectable drugs and therefore anything that can increase the lifetime of the drug will thereby reduce the number of injections the patient has to take. Being the spouse of a diabetic, I can tell you that patients look forward to technologies that either eliminate or greatly reduce the number of times each day that they must stick themselves with a needle.
You can find more information on their SynFusion technology on their site. I think this is likely a good acquisition for Biogen Idec and in light of costs of other deals, it seems reasonably priced. I am hopeful again that the incorporation of a small company into a larger one does not stifle innovation and allows the continued use of the technology for a wide range of products.
In interest of full disclosure I own a few shares of Biogen Idec.
Technorati Tags: Biogen Idec, pharma M&A, pharmaceutical deals, Syntonix
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The rational behind antisense drugs makes sense (pun intended). A nucleotide sequence is developed that interacts with strands of DNA and modifies gene expression.
Antisense drugs stop making sense?:
However, it is interesting to see if antisense has lived up to all its hype. While there has been one approval; Vitravene (fomivirsen) from Isis Pharmaceuticals for treatment of cytomegalovirus (CMV) retinitis, there hasn’t been much else. Recently Genta has received a non-approvable letter from the FDA for its antisense compound Genasense used in combination with chemotherapy for chronic lymphocytic leukaemia (CLL). This drug was also refused approval back in 2004 for treatment of melanoma which led to Sanofi-Aventis pulling out of a potential collaboration deal.
Also, Methylgene stopped development of its antisense compound MG98. The article goes on to mention some other antisense drugs under development. One of these is AVI Biopharma, the only biotech/pharma company here in Oregon.
While I do believe there is potential here, I think again it was a case of being over-hyped in the media mainly for the purpose of raising capital. There must be something to this since Merck just spent a huge sum to acquire Sirna who is developing an antisense drug for treatment of age-related macular degeneration (AMD).
My bottom line; so far antisense has not lived up to its hype. However, I think the problem lies more with the over-hyping and the media than with any inherent problem with antisense itself. I think scientists need to lead the way in being cautious when talking to journalists and more realistic in how long it takes to develop useful products from new technologies. I also feel that stem cell research falls into this category. While I think there is a great opportunity and fully support stem cell research, I think it has been way over-hyped and that it will take quite some time before any useful products result from this research. We in the science community have not done a good job of explaining what all goes into developing new products and in many cases have been overly optimistic of how long a project may take.
Technorati Tags: antisense, Genasense, Genta, Methylgene, MG98, fomivirsen, Vitravene
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Well, the New Year finds even more deals being made. In this case it is between Exelixis and Genetech. Genentech will license the rights to XL518, a small molecule to be to treat cancer from Exelixis for an upfront payment of $40 million. Exelixis has already filed an IND for this molecule. Exelixis is responsible for development through phase I. At that point, Genetech has the option to take over development and then Exelixis will received further payment which were not disclosed.
Here is the main point from the article on how exactly the molecule is suppose to work.
MEK, also known as mitogen activated protein kinase (MAPK) kinase, is a key component of the RAS/RAF/MEK/ERK pathway, which is frequently activated in human tumors. Inappropriate activation of the MEK/ERK pathway can promote cell growth in the absence of exogenous growth factors.
This appears to be a good deal for both parties. Exelixis gets upfront money and has certain responsibilities with a potential upside. Genetech gets the rights to a promising drug without a major commitment and can see how the phase I goes and make a decision later on.
Another good blog post on this is Exelixis is like butter…..
Other Resources
Exelixis Announces January 3 Webcast Discussion of Its Co-Development Agreement With Genentech for Small Molecule Oncology Compound
XL518 - Yahoo! Search Results
XL518 - Google Search
Google Blog Search: XL518
Technorati Tags: Exelixis, Genentech, pharmaceutical deals, XL518
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In this time of the New Year and making New Years Resolution, here’s one I’d like to see many folks make. Better manners when using cell phones and blackberry-like devices. There was a recent article on Yahoo that got me to thinking about this.
Are BlackBerry users the new smokers? - Yahoo! News:
One of my major complaints is something I see quite frequently when traveling, especially at airports. Men standing at urinals, doing their business while talking on their cell phone! I have observed this with a disturbing increasing frequency over the last year. They stand their chatting away while urinating. I’m not sure what the people at the other end of the phone think?! I’ve even overheard men sitting on the toilet talking on the phone while performing their bodily functions. I certainly wouldn’t want to be on the other end of those conversations.
Manners with new technologies are a growing concern. Many restaurants are banning cell phones and I agree with that manly because I don’t want to be forced to listen to someone else’s inane conversation while I’m dining. Also, people tend to talk louder on a cell phone than they otherwise might and forget those around them.
Here is my list of things I’d like to see people work on in the coming year.
1. Get voicemail and use it. Call people back after you have finished whatever business you have at hand. This way you give the other person your full attention.
2. Find an area away from others to have a cell phone conversation if you must take the call. In restaurants, either step outside or find somewhere where you won’t bother other diners, but not the restroom.
3. Don’t send email while having a conversation! Many people seem to want to multi-task but this is disrespectful in some situations, especially if you are having a one to one interaction. Sending a quick email note during a meeting is okay, but don’t spend all your time reading email.
4. Don’t have a long loud conversation on a bus. A short call is okay but avoid long drawn out conversations in crowded situations.
5. Place phones on vibrate when in meetings, conferences, at dinner, etc. This way you know you have a call but don’t submit everyone around you to your ring, especially when it is a song.
6. Regarding ring-tones. Picking a song or jingle that you like and enjoy is fine. However, don’t continue to let your phone ring just so you can listen to an entire song!! I’ve seen people pull out their phones and wait for several seconds before answering just so they can enjoy their ring-tone.
7. When on an airplane before take-off, please hang up when asked to by the flight attendant. I have been on many flights where the push-back from the gate is delayed because someone refuses to end a cell phone conversation. On this subject, I truly hope airlines do NOT start allowing people to use cell phones while in flight!!
7. Just be aware of your surroundings and try to avoid disturbing others. Most people don’t mind a short conversation however, most of us don’t want to hear a five minute conversation about your toodler making poo-poo or a discussion of who at your company may get fired for sleeping with their boss (I have overheard both of these conversations in the past year).
I think technology is wonderful and can make life much easier. However, as with all new technologies, it needs to be used in a manner that is respectful of others.
Technorati Tags: cell phone manners, cell phone use, manners, politeness
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Given the fact that there have been flu vaccine shortages the past couple of years, it is disturbing to see that there way well be unused flu vaccine this year.
After Shortage, Vaccine for Flu Goes Unused - New York Times:
I encourage everyone to get a flu shot and it isn’t too late. If you are at risk or will be traveling a lot this year you should certainly get vaccinated. If there is a significant amount of unused vaccine this year, it could have a negatively impact in the future. Companies will be less likely to make as much vaccine in the future if it goes unused this year.
Technorati Tags: flu, flu vaccine, flu shot
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I have been preparing my next podcast for Searching the Internet on government sources of information and have been debating how to deal with the politicization of science in recent years. It use to be that politicians used science to help direct public policy and make decisions that affect the country. Now however, it seems the policy is decided and the scientist are being coerced or forced into making their results fit the policy. This means that a released report from a US government science based source is always suspect especially in areas of controversial issues such as sex education and condom use, stem cell research, global warming, and evolution.
This article from mid-Dec from the BBC News gives some idea of the extent of the problem.
BBC NEWS | Science/Nature | US scientists reject interference
The statement they report on was signed by over 10,000 scientist from a wide variety of the sciences and included 52 Noble prize winners. I am hopeful that with the last elections, their will again be some oversight and sanity brought back to the topic of using science to help Americans and the world as a whole.
I have mentioned Chris Mooney before and his book The Republican War on Science” (Chris Mooney). He also has a great blog The Intersection. I highly recommend both.
Other Resources
A to Z Guide to Political Interference in Science
Dear Kitty. Some blog :: USA: voice of science stifled in Bush administration :: December :: 2006
Dear Kitty. Some blog :: USA: Bush administration gags scientists :: December :: 2006
AlterNet: Junking Science (interview with Chris Mooney)
New Statesman - Right and wrong (review of Republican War on Science)
Spot-On: Christopher Brauchli: Closed Doors, Closed Minds, Closed Science
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