Genzyme Buys a Bigger Presence in Oncology
Two recent acquisition bids by Genzyme stand to suddenly amplify the company's presence in oncology. If the bids go through, the acquisition of Ilex Oncology will bring Genzyme a marketed anti-cancer product, a drug candidate gearing up for Phase II trials and some development capacity. Buying Impath out of bankruptcy will bring Genzyme a diagnostic testing laboratory. Genzyme's managers see no near-term synergies from the firms, but clearly hope eventually to intertwine diagnostics and therapeutics.
You may also be interested in...
Genzyme is that rare biotech company that is both profitable and diversified. To finance its entrepreneurial businesses without diluting its original shareholders, it has issued separate "tracking" stocks for its various wholly-owned divisions: Tissue Repair, Molecular Oncology, and its General division. The financing strategy brings tax advantages and a way to incentivize managers. But skeptics worry that it adds a complexity that will scare off investors.
Data presented at AAAI meeting show reduced annualized asthma exacerbation rates across all patient populations, but doctors are unlikely to switch patients served well by existing biologics.
The RNA drug’s accelerated approval brings Sarepta’s exon-skipping market share to nearly 30%.