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Bayer's Metastasis in Cancer

Executive Summary

Three years ago, Bayer AG's diagnostics business formed a collaboration with the diagnostics subsidiary of OSI Pharmaceuticals Inc. (then Oncogene Sciences Diagnostics). The relationship was progressing smoothly, so it's no wonder that OSI turned to Bayer first when it decided to divest the diagnostics business this fall. Bayer quickly snapped it up for $11 million. For that price, Bayer getes one of the oldest tumor marker companies. The deal fits in with Bayer's long-term interest in cancer genomics and the company's collaboration has already produced one success--the introduction of an automated serum assay for Her-2/neu receptors.
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